Brazil's BNDES says demand for its loans down sharply in early 2014

BRASILIA Tue May 27, 2014 2:35pm EDT

BRASILIA May 27 (Reuters) - Demand for loans from Brazil's state development bank BNDES dropped sharply in the first four months of the year as business confidence sagged, bank president Luciano Coutinho told lawmakers on Tuesday.

Demand for BNDES loans fell to an equivalent of 57.240 billion reais ($25.58 billion) between January and April, down from 70.886 billion reais in the same period of 2013.

Loan disbursements increased slightly in the first four months of the year to 58.852 billion reais.

($1 = 2.2372 Brazilian reais) (Reporting by Silvio Cascione; Editing by Chris Reese)