Regulation and compliance are the main obstacles to the growth of the private debt sector, according to a survey of industry professionals.

A new poll by fintech platform Tradeteq found that almost two thirds (63 per cent) of professionals in the private debt and trade finance space see regulation as the main hindrance to the market.

20 per cent said that technological limitations were the main barrier, while 10 per cent cited transparency as a major issue for the sector.

Read more: Direct lending yields suggest resilience, says Brookfield Oaktree

“These results should serve as a call to transform access to private debt and trade finance investment, at a time where demand for both is growing rapidly,” said Mattia Tomba, head of international markets at Tradeteq.

“With any shifts in regulation and compliance likely to take time, Tradeteq’s mission to facilitate transactions between institutional investors and trade finance and private debt originators is a swifter solution to creating liquidity in a traditionally opaque market.

Read more: Family offices to up private credit allocations – KKR survey

“This is vital to boost corporate lending, which is one of the key factors that will ensure every great idea is funded and help accelerate economic recovery.”

86 per cent of the 200 people surveyed said they expect to see trade financing expand from banks and alternative lenders to be integrated into business-to-business platforms such as logistics and e-commerce.

Read more: Private debt investors expect rise in dealmaking and fundraising