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CVFF Success Tied to Trade Opportunities, Says Olubowale

CVFF Success Tied to Trade Opportunities, Says Olubowale

Captain Ladi Olubowale, the former President of the African Shipowners Association, asserted that the effectiveness of the Cabotage Vessels Financing Fund (CVFF) should be evaluated based on its ability to connect with actual trade opportunities rather than merely the amount of money available to shipowners. Speaking at a roundtable meeting in Apapa on Tuesday with the Maritime Reporters Association of Nigeria, Olubowale noted that a $25 million facility could enable the acquisition of a significant vessel if it is tied to identifiable cargo and long-term trade contracts.

He emphasized that ship acquisition should be driven by commercial opportunities and that the CVFF should be part of a broader national fleet development strategy. Olubowale pointed out that Nigeria must identify available cargo volumes and match them with suitable vessels before deploying the CVFF.

He mentioned that a properly structured $25 million facility could allow operators to acquire vessels suited for specific trades, particularly with guaranteed contracts, thus ensuring commercial sustainability.

Plus234Feed summary based on reporting from Punch Newspapers. Read the original report below.

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