Economic turmoil, global tensions, and a new era of slower growth
Asia-Pacific private equity funds turned cautious in 2022, ending two years of record dealmaking. By midyear, an economic slowdown collided with mounting global and regional uncertainties to produce a perfect storm for investors. As companies struggled, general partners (GPs) retrenched and Asia-Pacific deal value plummeted 44% to $198 billion (see Figure 1). Exits and fund-raising also fell sharply below 2021 levels.