The Minister of Marine and Blue Economy, Adegboyega Oyetola has stated that qualified applicants can access up to $25m each at competitive interest rates from the Cabotage Vessel Financing Fund.
The Special Adviser to the Minister on Media & Communications, Dr Bolaji Akinola, announced this in a statement recently.
The minister also directed the Nigerian Maritime Administration and Safety Agency to commence the process for the disbursement of the CVFF.
He said the fund would enable shipowners to acquire vessels that meet international safety and performance standards.
Oyetola said the directive marks a significant shift from over two decades of administrative stagnation and ushers in a new era of strategic repositioning of Nigeria’s indigenous shipping.
The CVFF, established under the Coastal and Inland Shipping (Cabotage) Act of 2003, was designed to empower Nigerian shipping companies through access to structured financing for vessel acquisition.
The figure is estimated to have accrued up to $350m as of 2024. However, successive administrations failed to operationalize the fund until now.
Oyetola explained that the fund would be administered in partnership with carefully selected and approved Primary Lending Institutions, ensuring professional and efficient disbursement.
“Qualified applicants can access up to $25m each at competitive interest rates to acquire vessels that meet international safety and performance standards.”
The former Osun governor highlighted that under the visionary leadership of President Bola Tinubu, the Federal Government has signaled a deliberate course correction.
“The disbursement of the CVFF would represent not just the release of funds, but a profound commitment to empowering Nigerian maritime operators, bolstering national competitiveness, and fostering sustainable economic development,” he said.
The minister added that the move is not just about funding vessels, it’s about investing in a future where Nigerian shipping companies can stand shoulder-to-shoulder with their international counterparts,” he said.
“This is a turning point that affirms our commitment to local content, economic resilience, and maritime sovereignty,” the minister said.
According to him, this is not just about disbursing funds. It’s about rewriting a chapter in the nation’s maritime history.
“For over 20 years, the CVFF remained a dormant promise. Today, we are bringing it to life deliberately, transparently, and strategically,” he said.
He mentioned that NIMASA, in alignment with the directive, has already issued a Marine Notice inviting eligible Nigerian shipping companies to apply.
He maintained that the disbursement of the CVFF is anticipated to yield far-reaching benefits: “it will enable the growth of a stronger, self-sufficient shipping fleet, generate employment opportunities, stimulate local shipbuilding and repair industries, and significantly reduce capital flight associated with foreign vessel chartering.”
He reiterated that the fund would help to realign the industry toward long-term growth, enhanced logistics efficiency, and global relevance.
“We are doing what should have been done years ago because our vision is clear. A strong indigenous fleet is not just a matter of pride; it is a strategic national asset. Through this intervention, we will be securing jobs, strengthening our economy, and redefining our place in the global maritime economy,” he said.
He averred that the action by the president and the ministry represents a historic milestone.
Oyetola said it reaffirms Nigeria’s readiness to take its rightful place on the global maritime stage powered by indigenous capacity, guided by clear policy, and sustained by unwavering political will.
