The Nigerian Maritime Administration and Safety Agency (NIMASA) has pledged to commence disbursement of the Cabotage Vessel Financing Fund (CVFF) by August 2025, following a directive from Minister of Marine and Blue Economy, Adegboyega Oyetola.
NIMASA Director-General, Dr. Dayo Mobereola, made the announcement during an oversight visit by the House of Representatives Committee on Maritime Safety.
Mobereola noted that the process is far advanced, in line with the Minister’s acceleration directive. While emphasising that the $700 million intervention fund aims to empower indigenous shipowners, with NIMASA expanding the number of Primary Lending Institutions from five to twelve to manage the fund efficiently.
He also disclosed that the funding model involves banks contributing 35%, NIMASA 50%, and shipowners 15% as equity. And NIMASA has streamlined guidelines, ensuring beneficiaries can access funds within three to four months.
The agency also emphasised single-digit interest rates and long-term loan tenures of 15 to 20 years to enable indigenous shipowners to compete globally.
NIMASA is also collaborating with major cargo-generating stakeholders, including NNPC, NLNG, and exporters, to ensure Nigerian-owned vessels have access to cargo.
“We are acting in accordance with the directive of the Honourable Minister to ensure indigenous shipowners finally have access to this critical funding
“ By involving the banks, we are ensuring financial discipline and sustainability, which are crucial for this fund to continue long-term
“ We are creating a win-win scenario—access to finance and access to business” Mebereola explained
The development drew commendation from the House Committee, with Acting Chairman Hon. Uduak Odudoh expressing satisfaction with NIMASA’s performance and innovation under Dr. Mobereola’s leadership.
“ What we have seen today, especially with the clear reduction in maritime crime and the DG’s presentation, gives us confidence in NIMASA’s direction. We will continue to work with the agency and the Ministry to ensure the success of this initiative and broader goals of the Blue Economy”
Following years of setbacks, the CVFF is poised to empower local shipowners, with Minister Oyetola’s directive and NIMASA’s accelerated efforts set to bring relief by Q3 2025
