Saudi fund sees rise in demand as lending falls

The Saudi Industrial Development Fund, a government lender with $5.3 billion (Dh19.4bn) in capital, said demand has increased this year from companies seeking project finance as the global credit crisis constrains bank lending.

"This year we will have more in terms of the number of loans but not the amounts," Mohammed Dobaib, acting director general of the Riyadh-based fund, said in an interview.

"Some successful traders used to go to banks without coming to us. Now, it is different. The banks are being more conservative."