Goldman Sachs and Abu Dhabi Sign $1 Billion Investment Partnership for Asia Pacific

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Goldman Sachs and Abu Dhabi

Goldman Sachs and Abu Dhabi sovereign wealth fund Mubadala have announced a $1 billion private credit partnership to co-invest in the Asia-Pacific region, with a particular focus on India. The partnership, known as the “Partnership,” will be managed by Private Credit at Goldman Sachs Alternatives and will invest in high-quality companies across the private credit spectrum in various Asia-Pacific markets.

This collaboration comes as Goldman Sachs expands its presence in the Middle East, with the opening of its office in Abu Dhabi Global Market. It is also in line with the growing economic influence of the UAE and other Gulf states in India, which is projected to be the fastest-growing G20 economy in the 2023-24 fiscal year. The UAE recently announced a target to invest $75 billion in India, while Saudi Arabia aims to invest $100 billion in the country.

Fabrizio Bocciardi, Mubadala’s head of credit investments, highlighted the significant opportunities in India’s private credit market, stating that “India, in particular, stands out as a key market with significant opportunities in private credit, and where Goldman Sachs has strong exposure and capabilities.”

Greg Olafson, global head of private credit at Goldman Sachs Alternatives, expressed optimism about the potential for private credit in the Asia-Pacific region, citing strong economic growth and favorable conditions for private lenders. He believes this partnership with Mubadala will allow Goldman Sachs to expand its investment focus in the region.

Omar Eraiqat, Mubadala’s deputy CEO of diversified investments, emphasized the strategic significance of the partnership, stating that it aligns with Mubadala’s goal to grow its private credit exposure in the Asia-Pacific region.

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Mubadala Investment Company, which manages a global portfolio of $276 billion, is focused on diversifying the UAE economy and pursuing strategic growth initiatives in APAC.

This partnership between Goldman Sachs and Mubadala reflects their confidence in the growth potential of the Asia-Pacific market, particularly in India, and their commitment to capitalizing on the opportunities in private credit in the region.

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