#privatecredit

Private credit in India has moved from niche to mainstream, and 2026 is the year it becomes a core part of the country’s funding stack—especially for stressed and structured deals where banks are pulling back.

India saw around USD 9 billion of private credit deals in H1 2025, a 53% year‑on‑year surge, driven by large refinancing and complex structured transactions.

Assets under management in India‑focused private debt funds jumped from USD 0.7 billion in 2010 to about USD 17.8 billion in 2023, making India one of APAC’s fastest‑growing private credit markets.

Reports project 25–30% annual growth in private credit value and volume, with India potentially accounting for up to 30% of APAC private credit fundraising by end‑2025.

This isn’t just more capital; it’s a structural shift in how Indian corporates think about leverage, speed, and flexibility.

Five latest trends shaping Private credit

1. From rescue capital to primary capital

Private credit is no longer only “last‑resort” distress money. Around 15–20% of recent private credit flows are going into growth, capacity expansion, and acquisition financing, not just workouts. Yet, stressed and special situations remain a core use case—especially where banks can’t or won’t lend under current prudential norms.

2. Bigger, more complex deals

Deal sizes have scaled up sharply, with multiple Indian transactions now exceeding USD 125–300+ million per borrower, including landmark structured financings for infrastructure, manufacturing, and large conglomerates. A single deal in 2025 (Shapoorji Pallonji group) accounted for over USD 3 billion of private credit, underscoring the market’s ability to support mega‑transactions.

3. Stressed assets + Performing credit converge

Traditionally, private credit in India focused on stressed and special situations, but the opportunity set now spans both stressed credit (high yield, complex risk) and performing credit (12–18% IRR). Sectors like manufacturing, real estate, and hotels account for about 65% of resolved stressed companies, and they are proving fertile ground for bespoke private credit structures.

4. Regulatory push: RBI’s ECL norms as a catalyst

The RBI’s proposed Expected Credit Loss (ECL) framework will force banks to provision earlier and more aggressively—especially for Stage 2 and Stage 3 (credit‑impaired) assets, where lifetime ECL and higher provisioning floors (up to 100% after 4 years) will apply. This is expected to:

Nudge banks to sell or syndicate stressed assets faster,

Create a larger pipeline of NPAs, SMA‑2 assets and special situations that are ideal for private credit solutions.

5. Sector focus: Real estate, infra and acquisition finance

Real estate‑linked private credit already accounts for more than one‑third of transaction value in India, with a rising share of deals tied to M&A and acquisition financing (roughly 35% of deals). Private lenders are filling gaps that banks can’t fill—like funding equity for acquisitions, providing last‑mile capital to complete projects, and supporting complex refinancing of leveraged corporates.

Where Credit Curators fits into this new private credit landscape

Against this backdrop, Credit Curators positions itself as a specialist curator of private credit in India’s stress and special‑situation markets, with a strong focus on NPAs, SMA accounts, and structured real‑asset funding.

Our core focus areas

NPA & SMA funding (SMA‑0/1/2): Liquidity for businesses flagged but not yet written off—preventing slippages into full‑blown NPAs.

Stressed‑asset & OTS funding: Capital to close one‑time settlements with banks and ARCs, enabling promoters to regain or retain control.

Acquisition & last‑mile real estate funding: Structured private credit for acquiring stressed projects, finishing stalled developments, or refinancing high‑cost exposure in realty and infra.

Project‑specific and sector‑agnostic solutions: Tailored term sheets for manufacturing, logistics, hospitality, renewables and more, aligned to cash‑flow realities and asset values.

How Credit Curators is different from typical lenders

We are curators, not just capital providers – we match businesses with the right structured credit, covenants and tenors for actual turnaround, not just short‑term plugging.

Faster execution – mandates typically move from assessment to funding in 7–14 working days, versus months under traditional bank processes.

Promoter‑sensitive structures – we emphasise structures that preserve or restore promoter control, rather than pure asset strip‑outs.

Regulatory‑aware design – every structure is built with RBI, SEBI and IBBI norms in mind, including alignment with evolving ECL expectations and stressed‑asset frameworks.

What this means for borrowers in 2026

If you are a mid‑market corporate, developer, or promoter facing stress, the 2026 environment is very different from the last NPA cycle:

Banks are better capitalised but more conservative, especially with ECL‑driven provisioning.

Private credit funds (domestic and global) have both the capital and the appetite to underwrite complex risk at 12–22% yields.

Well‑advised borrowers can now use curated private credit to:

*Avoid or exit IBC, *Close OTS deals on time, *Refinance expensive or rigid bank exposure, *Complete projects and unlock cash flows, rather than liquidating at the bottom of the cycle.

From “NPA funding in Hyderabad” to “OTS loan in Mumbai,” stressed borrowers are searching in simple, urgent language—and finding real turnaround options with Credit Curators. 🔍💼

Across India’s key hubs—Mumbai, Delhi‑NCR, Hyderabad, Bengaluru, Chennai and beyond—high‑intent searches like “NPA funding + city” and “OTS funding company” are becoming the starting point for business revival. Credit Curators turns that search intent into action with NPA funding, OTS finance, bridge and project funding, and special situation private credit tailored city‑by‑city.

🔗 Read the full breakdown of NPA & OTS funding in Telangana and beyond:

Private credit’s evolution isn’t slowing down. If anything, it’s accelerating—fueled by India’s $200B+ NPA pileup and RBI’s latest push for alternative funding (see RBI Financial Stability Report Nov 2025).

Last week: Why quality beats volume in private credit curation. Chapter 2: The Curator’s Playbook—discipline over desperate yield-chasing.

Chapter 3: The 2026 Power Shift—How Curators Win Big in India’s Stress Markets ⚡

India’s private credit AUM exploded to $12B in 2025 (25% YoY growth, per Preqin Global Private Credit Report 2026), but here's the wake-up: 70% of deals still flop due to poor curation (EY India Alternative Investments Survey 2025). While others spray-and-pray for 15% yields, true curators like Credit Curators build fortresses:

1. Say No to 90% of Opportunities We reject shiny deals lacking collateral depth. Example: Turned down a "guaranteed" 20% OTS in Q3 2025—borrower defaulted 6 months later amid steel sector woes. Backlink: India NPA Trends 2025.

2. Underwrite for 3-Year Downside Scenarios Stress-test every NPL for recessions, rate hikes (RBI repo at 6.5%), and sector shocks. Our models flagged 15% of pipeline last year—saving investors 8-figure losses.

3. Structure for True Alignment Investor-borrower waterfalls with skin-in-the-game clauses. Result: 92% repayment rates in our portfolio vs. market 75% (ICRA Distressed Assets Report).

4. Track Performance Post-Funding Real-time dashboards monitor cash flows, covenants, and recoveries. One portfolio deal: Early red flag led to restructuring, turning 12% IRR into 21%.

Bold Prediction: By 2027, curation platforms will snag 40% of $50B inflows—leaving undifferentiated funds scrambling (Deloitte Private Credit Outlook 2026).

🔍 Last poll: Deal quality dominated (62% votes). What's YOUR #1 risk hack?

💥 Viral Challenge: Share your wildest "said no and saved my skin" deal story below. Top 3 get a personalized Credit Curators playbook audit (DM for details). Tag a VC/PE peer!

🔗 Dive Deeper: 👉 Curator’s Playbook Demo 👉 creditcurators.in/services/npa-funding 👉 Free NPA Funding Guide

Private credit’s evolution isn’t slowing down.

If anything, it’s accelerating.

Last week we discussed why quality beats volume in private credit curation.

Today let’s talk about the next frontier 👇

Chapter 2: The Curator’s Playbook

While others chase yield, the real edge comes from discipline in deal selection.

Here’s what separates curated private credit from the noise:

*Say no to 90% of opportunities

*Underwrite for 3‑year downside scenarios

*Structure for alignment (investors + borrowers)

*Track every deal’s performance post‑funding

This isn’t theory. It’s how Credit Curators has delivered consistent outcomes in India’s stress markets.

🔍 What’s the single biggest risk you see in private credit right now?

🔘 Manager behavior

🔘 Deal quality

🔘 Liquidity

🔘 Regulatory shifts

💬 Vote in the poll below and share your thoughts.

🔗 Want to see the playbook in action?

👉 https://creditcurators.in/blog/npa-npl-funding-stressed-asset-finance

stressed and distressed credit market is where critical decisions about jobs, capacity and growth are made. Private credit has become essential for NPAs, OTS situations and stalled projects.

Credit Curators’ private credit approach

Traditional lenders are constrained by RBI norms on NPAs and provisioning. Credit Curators uses investor capital for:

NPA/NPL funding and takeovers

OTS‑aligned finance

Stressed & special‑situation deals

Project/builder funding

Differentiation from competitors

Unlike volume‑focused “NPA companies,” Credit Curators prioritises:

Case‑wise structuring based on cash flows and timelines

Multi‑stakeholder coordination (promoters, banks, private credit)

City‑aware execution (Delhi‑NCR, UP, Telangana, Tamil Nadu, Odisha)

Transparent feasibility checks

All within RBI, IBC/IBBI and SEBI frameworks.

Key resources

NPA & NPL funding: https://creditcurators.in/blog/npa-npl-funding-stressed-asset-finance

NPA finance solutions: https://creditcurators.in/blog/npa-finance-solutions

City‑wise NPA funding: https://creditcurators.in/blog/npa-funding-in-indian-cities

Distressed account funding: https://creditcurators.in/distressed-account-funding

Stressed account funding: https://creditcurators.in/stressed-account-funding

Delhi, India’s powerhouse of policy and business, is at the crossroads of ambition and adversity. From large infrastructure firms to MSMEs, even one delayed payment or contract pause can turn a performing account into an NPA. But here’s the truth — the value still exists. That’s where NPA Funding steps in. It’s not rescue finance — it’s a strategic restart. ✨ What it enables: *Fast working capital infusion to restart business operations *Debt restructuring with banks/NBFCs to avoid bankruptcy *Protecting promoter equity & ensuring business continuity *Bridge funding through ARCs, Special Situation Funds, and Private Credit Delhi’s evolving ecosystem — from real estate giants to export houses — needs speed, legal coordination, and innovative structuring. That’s exactly where we come in. At @creditcurators, we specialize in NPA & distressed asset funding across India, helping businesses regain stability through structured finance and regulatory support. 📖 Read the full insight here: https://lnkd.in/gd6QXSyh 🌐 Explore more solutions: www.creditcurators.in Let’s turn stress into opportunity — together.

While public markets react in real time, private credit moves differently — slower, deeper, more intentional.

But here’s the part most people miss:

The future of private credit won’t be defined by how much capital is deployed… It will be defined by who curates it.

That’s why Credit Curators stand out as the #1 name in curated private credit.

Not because they do more deals — but because they do better ones.

Their philosophy is simple:

Discipline over hype

Structure over speed

Protection before performance

This is private credit with intention.

🔗 Learn more about curated private credit → https://creditcurators.com

🔗 Read market insights & long-form thinking → https://creditcurators.com/insights

Sophisticated private credit deals in India are squeezed by fragmented lenders, rigid collateral structures and tight RBI / SARFAESI / IBC rules – making liability management for stressed SMEs and corporates genuinely hard.​

That’s where Credit Curators comes in 💼

🔹 NPA funding & NPA takeover finance to clear dues and protect assets

🔹 OTS‑aligned funding structured around real bank offers, not theory

🔹 Stressed & special situation funding designed case‑by‑case, within regulatory realities​