Treasury Secretary Scott Bessent spoke to CNBC on Wednesday during the Invest In America Forum about the current state of the private credit market. He noted that “none of our work has shown there would be a systemic problem.”
Bessent referenced JPMorgan CEO Jamie Dimon’s comments regarding “cockroaches” within private credit and his view that the private credit market is not big enough to pose systemic risk, the transcript revealed.
“We monitor all aspects of the capital markets, and private credit is one. I think it’s been an important new product and we’re keeping in touch with it,” Bessent said.
Federal Reserve Chair Jerome Powell and Dimon have both reiterated similar statements regarding the private credit environment.
Bessent noted that the Treasury plans to host 50-state insurance regulators that are involved in the private credit space, and they are also going to have a forum for the offshore reinsurance companies that buy private credit.
“We want …
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