FG to Provide $25M Each to Nigerian Shipowners

The Federal Government of Nigeria, led by Minister of Marine and Blue Economy Adegboyega Oyetola, announced a significant initiative to support indigenous shipping by providing qualified Nigerian shipowners with financing of up to $25 million each under the Cabotage Vessel Financing Fund (CVFF). This initiative aims to strengthen the local shipping industry and create over 30,000 direct and indirect jobs.

Oyetola revealed this development in a post on his X handle, emphasizing that the government is finally moving to unlock the CVFF after more than 20 years since its establishment. The minister noted that access to affordable financing has been a major challenge for Nigerian shipowners, and this fund will enable them to acquire modern vessels and compete effectively against foreign operators.

The Nigerian Maritime Administration and Safety Agency (NIMASA) has been directed to expedite the disbursement process, having received 92 applications, with 20 already forwarded to Primary Lending Institutions for review. The number of approved banks has been expanded from five to twelve to facilitate this process.