US private credit defaults hit record 9.2% in 2025, Fitch says
Summary
Reuters reports Fitch Ratings found that 2025 private credit defaults rose to a record 9.2%, with 38 defaults among 28 borrowers in a monitor of 302 companies. Defaults were concentrated among smaller middle-market firms with floating-rate debt, while Fitch noted no defaults in the software sector last year, underscoring sector-specific risk patterns. The volatility in financing could impact IT procurement and automation initiatives in small to mid-size businesses.