A post by @FirstSquawk on X.

Sumitomo Mitsui Financial Group has tightened its data centre lending criteria, restricting loans to hyperscalers with strong credit profiles, according to CEO Nakashima. The move narrows SMFG's financing pool to the largest, highest-rated cloud and technology tenants, reducing exposure to speculative or lower-rated operators as data centre construction demand surges. It matters because banks are the primary capital source for the buildout, and stricter underwriting could slow funding for smaller developers and raise borrowing costs across the sector. Watch for whether peer lenders follow SMFG's lead and how the shift affects financing terms and timelines for non-hyperscale projects.