Nigerian Government Launches Vessel Financing Fund for Shipowners

The Federal Government has commenced the disbursement of the Cabotage Vessel Financing Fund (CVFF) aimed at assisting Nigerian shipowners in acquiring vessels, expanding their fleets, and enhancing indigenous participation in the maritime sector. Minister of Marine and Blue Economy Adegboyega Oyetola made this announcement on Thursday in Lagos during the 2026 Annual Summit of the Shipping Correspondents Association of Nigeria (SCAN).

The disbursement is intended to improve access to long-term financing for local operators who have faced challenges in acquiring vessels due to high borrowing costs, stringent collateral requirements, and the capital-intensive nature of shipping. Oyetola emphasized the government's commitment to bolstering indigenous participation in the maritime industry, retaining more maritime value within the Nigerian economy, and creating sustainable employment opportunities.

He described the fund as a strategic tool for enabling Nigerian operators to acquire modern vessels, expand their fleets, and stimulate investment in ship repair, marine engineering, and maritime logistics. UBA Apapa Regional Manager Nelson Edoye also expressed the bank's commitment to supporting indigenous participation in the maritime value chain through tailored financing solutions.