The Cabotage Vessel Finance Fund (CVFF) is to be disbursed by the Federal Ministry of Marine and Blue Economy through the Nigerian Maritime Administration and Safety Agency (NIMASA) shall attract a single-digit interest rate.
NIMASA Director General, Dr. Dayo Mobereola who announced this at a one-day interactive forum organized for stakeholders on the operationalization of the CVFF also disclosed a two-year moratorium and an eight-year tenure for the facility, which will be disbursed through 12 Primary Lending Institutions (PLI).
Other issues being addressed by NIMASA in collaboration with the PLIs include insurance, fund security, flexible tenures, and the reduction of sundry fees to the barest minimum at subsidized rates.
A statement signed by NIMASA Head, Public Relations, Mr. Osagie Edward and made available to Maritime Bits quoted Mobereola emphasizing the importance of the CVFF to the development of the Nigerian maritime sector while acknowledging the role of President Bola Ahmed Tinubu through the Minister of Marine and Blue Economy, Alhaji Adegboyega Oyetola in ensuring the immediate disbursement of the funds.
“I am delighted to announce that under President Bola Ahmed Tinubu’s leadership, and with the support of the Honourable Minister of Marine and Blue Economy, Adegboyega Oyetola, we have secured the necessary approvals for disbursement. This disbursement will be transformative for our industry by empowering indigenous ship owners to compete favourably, boost local content in the maritime sector, create employment opportunities for Nigerian seafarers, and strengthen ancillary maritime services.”
Mobereola also emphasized the need for transparency in the entire process. “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.”
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.
The former Director General of NIMASA, Mr. Temisan Omatseye who had previously doubted the realization of the CVFF also joined others in commending NIMASA management and Oyetola.
