Joyce Mmereole Okoli
The long-awaited disbursement of the Cabotage Vessel Financing Fund (CVFF) is now imminent, with the Nigerian Maritime Administration and Safety Agency (NIMASA) confirming that the facility will carry a single-digit interest rate.
Director General of NIMASA, Dr. Dayo Mobereola, made the announcement during a one-day interactive session with maritime stakeholders on the operationalization of the fund.
He disclosed that the CVFF will include a two-year moratorium and an eight-year repayment tenure, with disbursement channeled through 12 Primary Lending Institutions (PLIs).
“We are very close to disbursement,” Mobereola said, affirming that all necessary approvals have been secured under the administration of President Bola Ahmed Tinubu and with the support of the Minister of Marine and Blue Economy, Adegboyega Oyetola.
The DG emphasized that the fund will play a pivotal role in revitalizing Nigeria’s maritime industry by enabling indigenous shipowners to better compete, enhancing local content, and creating job opportunities for Nigerian seafarers.
Mobereola also highlighted ongoing efforts by NIMASA and the PLIs to streamline the funding process. These include addressing insurance and fund security concerns, implementing flexible tenures, and minimizing associated fees through subsidized rates.
He assured stakeholders of a transparent process facilitated by a dedicated Cabotage Unit and well-defined eligibility criteria.
Industry leaders welcomed the update. President of the Nigerian Chamber of Shipping, Aminu Umar, praised the Ministry and NIMASA for what he described as a landmark step toward actualizing a long-delayed initiative.
Former NIMASA Director General, Temisan Omatseye, once skeptical of the fund’s eventual release joined others in commending the current leadership for its commitment to the maritime sector.