The Federal Ministry of Marine and Blue Economy, through its agency – Nigerian Maritime Administration and Safety Agency (NIMASA), has revealed that the Cabotage Vessel Financing Fund (CVFF) will carry a single-digit interest rate.
This announcement was made by NIMASA’s Director General, Dr. Dayo Mobereola, during a one-day interactive forum with stakeholders on the operationalization of the CVFF.
The CVFF will feature a two-year moratorium and an eight-year repayment tenure, with funds disbursed through twelve Primary Lending Institutions (PLIs). NIMASA, in collaboration with the PLIs, is also addressing critical issues such as insurance, fund security, flexible repayment terms, and minimizing sundry fees at subsidized rates to enhance accessibility.
Mobereola underscored the transformative potential of the CVFF for Nigeria’s maritime sector, crediting President Bola Ahmed Tinubu and the Honourable Minister of Marine and Blue Economy, Adegboyega Oyetola, for securing the necessary approvals for the fund’s immediate disbursement.
“This disbursement will empower indigenous shipowners, enhance local content, create jobs for Nigerian seafarers, and bolster ancillary maritime services,” Mobereola stated.
He also highlighted NIMASA’s commitment to transparency by establishing a dedicated Secretariat Cabotage Unit, setting clear eligibility criteria, and partnering with 12 PLIs to streamline access to the fund.
Industry stakeholders, including Aminu Umar, President of the Nigerian Chamber of Shipping, and former NIMASA Director General Temisan Omatseye, praised the efforts of Minister Oyetola and NIMASA.
Omatseye, previously skeptical about the CVFF’s realization, joined others in commending the agency’s progress toward operationalizing the fund.
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