Growth Credit Has Emerged as an Essential Business Tool
A new industry report highlights a shift toward growth credit for expansion and capital expenditure across major regions.
Updated on Oct. 6, 2026 in Corporate Finance
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Praxis Global Alliance and EvolutionX Debt Capital have released a report documenting the transition of growth credit from an alternative funding source to a critical business tool. The analysis covers over 1,700 credit deals worth US$ 60 billion across India, Southeast Asia, and the GCC.
Why it matters
Businesses are increasingly utilizing growth credit to fuel expansion and capital expenditure rather than relying on it solely for liquidity. This trend indicates a maturing private credit market as founders seek larger debt packages to scale operations.
Expansion and capex accounted for 48% of growth credit disbursements in 2025, followed by working capital at 24% and refinancing at 14%. Additionally, half of the surveyed founders expressed interest in securing more than US$ 50 million in debt.
The players
Praxis Global Alliance
This is a management consulting and research firm that tracks capital trends and business performance across emerging markets.
EvolutionX Debt Capital
This is a debt financing platform that provides growth capital to technology-enabled companies in Asia.
The details
The report, titled Growth Credit: From Alternative to Essential, highlights that 60% of founders now identify capital expenditure as their primary use case for debt. The findings underscore the evolving role of credit in supporting regional growth strategies across India, Southeast Asia, and the GCC.
Timeline
Credit deal data has been analyzed since 2021.
Market asset and disbursement metrics were tracked during 2025.
The report was officially unveiled at the SVCA Annual Gala on September 30, 2026.
The launch of the report was publicly announced on October 6, 2026.
Private credit assets are projected to reach US$ 109 billion by 2030.
Market Landscape
The report reflects a broader industry shift where private credit is becoming a foundational financing pillar rather than a secondary liquidity option. This trajectory positions growth credit as a primary competitor to traditional equity financing as companies seek to maintain ownership while funding expansion.
For business founders and operators, this trend signals an increasing availability of larger debt packages, with many founders now seeking more than US$ 50 million to fuel growth. Companies may find that growth credit offers a more viable alternative to equity when planning major capital investments.
The takeaway
The maturation of growth credit suggests that businesses are increasingly prioritizing debt as a strategic engine for capital expansion. Founders should evaluate their long-term financing needs against the rising viability of these credit markets.
Further reading
Learn more about the latest developments in the sector on the Corporate Finance page.
More information
Download the Growth Credit report to view the complete analysis.
Live Poll
Is it a good time for growing businesses to use debt to fund expansion?
