SINGAPORE, May 28 (Reuters) - Malaysian government-linked private equity company Ekuiti Nasional Bhd (Ekuinas) said on Tuesday it aimed to expand its investment activity into private credit with an allocation of 800 million ringgit ($170 million).

"This direct lending model will broaden the spectrum of financing from Ekuinas, complementing our existing private equity investments in supporting the growth and customized needs of high-potential and high-growth companies," Ekuinas CEO Syed Yasir Arafat Syed Abd Kadir said in a statement.

Private credit funds, which have potentially higher returns than bank financing, have gained traction in Asia over the last few years as companies tap alternative funding sources to equity and bank loans.

Founded in 2009, Ekuinas' current portfolio comprises 43 companies via its direct and outsourced funds with a total of 5.1 billion ringgit in capital deployed and a total investment of 4.5 billion ringgit, it said on Tuesday.

($1 = 4.6945 ringgit) (Reporting by Yantoultra Ngui Editing by Mark Potter)