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AAP
AAP
Politics
Jacob Shteyman

'Minsky moment': watchdog boss warns of market collapse

ASIC Chair Joe Longo warns private credit could prompt Australia's next financial collapse. (Joel Carrett/AAP PHOTOS)

It's growing at breakneck speed and has been dogged by accusations of poor business practices - now the corporate regulator warns the private credit sector could be the source of Australia's next financial market collapse.

Private credit - non-bank lenders that provide loans directly to businesses outside of public markets - has been warned to lift its standards or face more stringent regulation by the outgoing chair of the Australian Securities and Investments Commission, Joe Longo.

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