Key takeaways
- Capital expenditure to build artificial intelligence (AI) infrastructure is growing fast, and a rising share is financed with long-term debt and through complex off-balance sheet arrangements.
- Off-balance sheet commitments from a few large firms help to transform the credit rating of the debt, drawing in institutional capital. Banks often lend to both the vehicles and investors holding the debt.
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On AI-financing-related news days in 2026, spillovers to US Treasury and investment-grade bond markets were small and short-lived, but sustained issuance at the current pace could change this.
The views expressed in this publication are those of the authors and do not necessarily reflect the views of the BIS or its member central banks.
