Daniel Adaji
Cabotage Vessel Financing Fund portal launched to empower indigenous shipping
Nigeria on Thursday, officially opened the Cabotage Vessel Financing Fund (CVFF) Application Portal, offering eligible Nigerian shipowners access to up to USD 25 million each in structured financing to acquire vessels.
The launch, led by the Minister of Marine and Blue Economy, Dr Adegboyega Oyetola, took place at Eko Hotel and Suites, Victoria Island, Lagos, and drew senior government officials, legislators, maritime industry leaders, and key stakeholders.
Declaring the portal open, Oyetola described the occasion as “a deliberate and strategic step in repositioning Nigeria’s maritime sector as a central pillar of national development.”
He noted that the launch aligns with the broader national objective of diversifying the economy and unlocking the vast potential of Nigeria’s maritime domain, coastal resources, and inland waterways.
“The maritime sector remains the backbone of global commerce, yet despite Nigeria’s strategic geographic location and vibrant entrepreneurial base, our participation in coastal and inland trade has remained limited,” the Minister said.
“A major constraint has been the absence of a functional, credible, and transparent financing framework to support indigenous ship ownership. Today, we are changing that narrative, ” he added.
The CVFF, established under the Coastal and Inland Shipping (Cabotage) Act of 2003, is designed to bridge the financing gap faced by Nigerian shipowners. Though the Fund existed for over two decades, institutional and structural delays had hindered its operationalisation.
Upon assuming office, Oyetola said, his Ministry adopted clear policy objectives to strengthen Nigeria’s maritime capacity and ensure that the CVFF is implemented “strictly in line with sound governance and financial principles.”
“The CVFF is structured as a strategic development instrument,” he said. “By facilitating access to competitive vessel financing for indigenous operators, we hope to reduce reliance on foreign-flagged vessels in our coastal trade, improve retention of value within the domestic economy, create employment opportunities for Nigerian seafarers, and stimulate growth in allied sectors such as shipbuilding, ship repair, and maritime services.”
He also emphasised that the Fund’s impact extends beyond economics, noting that a stronger indigenous fleet would enhance maritime safety and security while supporting national efforts to maintain a regulated and efficient maritime domain. Stressing accountability, he reminded potential beneficiaries that the CVFF is a revolving fund that must be prudently utilised and repaid to ensure sustainability for future generations of maritime entrepreneurs.
The newly launched digital portal will serve as the institutional gateway for transparent administration of the Fund. “Through this platform, eligible Nigerian shipowners can submit applications that will be assessed against clearly defined criteria, supported by robust due diligence and professional financial oversight through approved Primary Lending Institutions,” Oyetola said.
He added that the portal aligns with the Federal Government’s e-Government agenda and efforts to reduce bureaucratic bottlenecks.
“By digitising the end-to-end CVFF application and evaluation process, we are simplifying access, improving predictability, and ensuring service delivery is efficient, transparent, and responsive,” he said. “I am confident that this initiative will strengthen our shipping industry, empower Nigerian enterprise, and contribute meaningfully to national growth.”
Also speaking at the event, Director General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr Dayo Mobereola, reaffirmed the agency’s commitment to ensuring the CVFF delivers on its purpose.
He said NIMASA has established a dedicated Cabotage Secretariat Unit to drive implementation, manage applications, coordinate with financial institutions, and ensure strict adherence to eligibility, compliance, and risk management procedures.
“Our objective is to make the CVFF work as a practical and reliable financing window for Nigerian shipowners to acquire vessels at competitive long-term financing rates,” Mobereola said, adding that the agency will ensure professional handling of applications, continuous engagement with Primary Lending Institutions, rigorous due diligence, and transparent monitoring of the entire process.
Legislators at the event also praised the initiative. Senator Wasiu Eshinloku, Chairman of the Senate Committee on Marine Transport, and Khadija Ibrahim, Chairman of the House Committee on Maritime Safety, Education and Administration, commended Minister Oyetola and NIMASA for a “landmark achievement” that responds to longstanding demands of the maritime community. Both pledged continued legislative support to ensure effective implementation of the Fund.
Industry stakeholders expressed strong backing for the initiative. Mike Igbokwe, President of the Nigerian Maritime Law Association; Aminu Umar, President of the Nigerian Chamber of Shipping; Sola Adewunmi, President of the Nigerian Shipowners Association; and Sonny Eja, President of the Shipowners Association of Nigeria, all described the portal launch as a turning point for indigenous ship ownership, capacity development, and investor confidence in Nigeria’s maritime sector.
Qualified applicants will now have the opportunity to access up to USD 25 million each at competitive interest rates to acquire modern vessels that meet stringent international safety and performance standards.
The Fund’s administration will be conducted in collaboration with carefully vetted and approved Primary Lending Institutions, ensuring efficiency, professionalism, and accountability.
