Non-bank financial institutions (NBFIs) are expected to benefit from more stable funding and liquidity conditions in 2026, according to the latest sector outlook from Fitch Ratings. The global credit agency has revised its sector outlook to “neutral” from “deteriorating,” reflecting a more balanced risk environment for NBFIs compared with recent years.
Fitch’s “Global Non-Bank Financial Institutions 2026 Outlook Compendium” highlights that many developed-market NBFIs in the Asia-Pacific region are seeing a normalising economic backdrop alongside improved access to funding. Robust liquidity profiles and a gradual easing in market stress have helped underpin the revision, suggesting that short-term pressure on funding costs may be easing for a number of players.
The agency noted that Chinese and Latin American NBFIs now also carry a neutral outlook, with Chinese institutions expected to benefit from better risk profiles and stronger policy coordination aimed at enhancing financial stability. North American and European securities firms, meanwhile, have seen supportive operating conditions thanks to recent lower policy rates, a pro-business regulatory environment in the United States and reduced oversight that has eased compliance burdens.
Despite the more positive overall trend, Fitch cautioned that specific pockets of stress persist. U.S. and Taiwanese consumer finance companies and some European rolling stock leasing firms continue to face elevated challenges related to asset performance and funding cost pressures.
The stabilising outlook for NBFIs follows broader efforts in global markets to strengthen financial intermediaries’ resilience after periods of volatility, underscoring the evolving dynamics of non-bank credit providers as they navigate slower global growth and shifting liquidity conditions.
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