Successful applicants of the Cabotage Vessel Financing Fund (CVFF) will repay their loans to their various Primary Lending Institutions (PLIs) within eight years.
In an interview with LEADERSHIP Weekend, the director-general of the Nigerian Marítime Administration and Safety Agency (NIMASA), Dr Dayo Mobereola, said the applicants must ensure they have the necessary facilities to operate the vessels profitably.
According to the NIMASA boss, who said applicants’ applications would be processed within 96 days from the day of formal application by the shipowner also emphasized the need for transparency in the entire process.
He also disclosed that the PLIs have been increased from five to 12 in order to give the shipowners various options.
“To ensure transparency and accountability, we established a dedicated Secretariat Cabotage Unit, developed clear eligibility criteria, and partnered with 12 Primary Lending Institutions to facilitate access to the fund.”
“I urge all prospective applicants to follow the established procedures through our partner financial institutions. The CVFF is not a grant program but a strategic investment in Nigeria’s maritime future. It is a loan with single-digit interest. We will monitor fund utilisation to ensure they achieve the intended objectives.”
“The CVFF was established under the Coastal and Inland Shipping Act of 2003 to provide financial support to indigenous shipowners for vessel acquisition and capacity development. Despite nearly two decades of regulatory challenges and bad experiences of the past, I am delighted to announce that under President Bola Tinubu’s leadership and with the support of the Minister of Marine and Blue Economy, Gboyega Oyetola, we have secured the necessary approvals for disbursement.”
“This disbursement will be transformative for our industry as it stands to empower indigenous shipowners to compete favourably, boost local content in the maritime sector, create employment opportunities for Nigerian seafarers and strengthen ancillary maritime services.”
In his remarks, the President of the Nigerian Chamber of Shipping, Aminu Umar, and other industry stakeholders commended the Minister of Marine and Blue Economy, Adegboyega Oyetola, and the Management of NIMASA for their efforts in facilitating the disbursement of the funds.
