Moody’s Warns AI Borrowing Could Raise Private-Credit Refinancing Risk

Moody’s Ratings warned that lending for artificial intelligence infrastructure is broadening private credit beyond its traditional corporate focus, while a cluster of loan maturities could leave weaker borrowers facing refinancing pressure from 2027 through 2029. The financing needs for AI have spread beyond data-center construction to land, power, semiconductors, graphics processing units and tensor processing units. Moody’s expects the five largest U.S. hyperscale cloud providers and CoreWeave to spend nearly $1 trillion on capital projects in 2027. The expected funding mix includes operating cash flow, debt, joint ventures and special-purpose vehicles.

Source: TokenPost