King Street Capital Management and Public Investment Fund announced the signing of a memorandum of understanding for PIF to serve as an anchor investor in a new private credit fund targeting Saudi Arabia and the broader Middle East and North Africa region.
The proposed fund will focus on providing private capital solutions to corporates and executing asset-based lending strategies, while maintaining flexibility to pursue opportunities across public credit markets and special situations. The initiative was unveiled during the FII PRIORITY Miami Summit 2026.
The partnership reflects PIF’s ongoing strategy to strengthen Saudi Arabia’s capital markets by attracting global asset managers and facilitating increased foreign investment into the region. The fund is expected to address rising demand for alternative financing solutions among businesses across Saudi Arabia and MENA, supporting economic development and high-impact industries.
PIF’s role as an anchor investor is intended to catalyze additional long-term capital from international investors, further expanding the private credit ecosystem in the region. The strategy will leverage King Street’s more than 30 years of experience investing across global credit markets, including emerging markets.
King Street has been increasing its footprint in the region and is in the process of establishing an office in Riyadh to support its growing investment activity.
The launch of the fund remains subject to customary conditions, including final agreements, regulatory approvals, and the completion of specified milestones.
KEY QUOTE:
“We believe the regional private credit market will need to grow by at least 15-30% annually over the next five years to finance economic development in Saudi Arabia and the MENA region. This will complement the GCC’s robust banking sector and expanding capital markets. Leveraging our deep experience in global credit markets and partnering with PIF, we will seek to drive foreign and domestic investment into the region.”
Brian Higgins, Founder And Managing Partner, King Street Capital Management
