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BIS: private credit lending to tech passed $1tn, with 46% of borrowers loss-making

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Source: Bank for International Settlements

A BIS Quarterly Review article by Puriya Abbassi, Iñaki Aldasoro and Sebastian Doerr finds private credit outstanding reached almost $2.5 trillion in 2025 and that lending to tech firms rose from about $22bn, 22% of the total, in 2010 to more than $1 trillion, 44%, in 2025, with about 55% of private credit funds lending to tech. It says private credit has become an important source of financing for the AI boom. The share of tech borrowers with negative EBITDA rose from 23% before 2020 to 46% after, while spreads narrowed, which the authors say may mean risks are not fully priced. They name liquidity mismatches in evergreen funds and lenders’ overlapping exposures to the same borrowers, and conclude that whether the expansion is sustainable or a stability risk remains an open question.

Why it matters

Regulators now have a measured base for the AI debt worry: more than $1 trillion of private loans to tech, with 46% of borrowers losing money.

When
14 Sep 2026
ID
WTA-N-2026-0284
Who
Bank for International Settlements; Iñaki Aldasoro, Sebastian Doerr

Summary by wheresthe.ai, from Bank for International Settlements. Checked against the source on 13 Oct 2026.

Read the original at Bank for International Settlements

Source copy: download the page as saved on 18 Oct 2026 (PDF). Document the source offers: document 1 (PDF). Also held by the Internet Archive.

Next stop on this Storyline: Elsewhere: United StatesKansas City Fed’s Schmid asks whether the AI ecosystem is becoming too big to fail

Cite this story

WTA-N-2026-0284: “BIS: private credit lending to tech passed $1tn, with 46% of borrowers loss-making.” wheresthe.ai, 14 Sep 2026. https://wheresthe.ai/d/intl-bis-quarterly-private-credit-tech-2026-09/ (source: Bank for International Settlements).

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