Defaults among private-credit borrowers are reaching their highest level in about three years, according to an index compiled by Kroll Bond Rating Agency LLC. Bloomberg and the Financial Post report that the default rate within the roughly $300 billion index matches the peak seen in 2023, indicating worsening credit conditions for companies relying on private lending rather than public bond markets. The coverage frames the increase as part of broader signs of stress in the private-credit sector, which is described as about $1.8 trillion in size. Both outlets cite the same Kroll index and focus on the default-rate milestone, emphasizing that the rate is the highest within the index’s current history period. While the sources do not provide additional details on individual sectors or specific borrower characteristics, they agree that the measured rise in defaults signals growing strain in private credit portfolios and may reflect deteriorating repayment ability among borrowers. The reports collectively highlight a key performance deterioration for private-credit lenders and reinforce concerns about credit risk in the market.