Singapore's Temasek has launched a $7.5 billion private debt platform, joining other major investors in the $2 trillion private credit sector.

Nicolas Debetencourt, who has been leading Temasek's credit and hybrid solutions since 2016, will spearhead this initiative.

The new platform will operate independently from Temasek-owned Seviora Group, which recently raised $1.3 billion for its second private credit fund, increasing its total assets under management to over $2.5 billion.

Institutional investors are increasingly capitalizing on private credit opportunities, despite potential risks in the current economic climate.