President Tinubu has approved CVFF disbursement to Nigerian Shipowners after 20-year delay.
NewsOnline Nigeria reports that President Bola Tinubu has approved the disbursement of the Cabotage Vessel Financing Fund, more than two decades after it was established to support indigenous participation in Nigeria’s maritime industry.
Minister of Marine and Blue Economy Adegboyega Oyetola disclosed the development in a statement issued on Sunday by his Special Adviser, Dr Bolaji Akinola.
Following the approval, Oyetola directed the Nigerian Maritime Administration and Safety Agency and the 12 designated Primary Lending Institutions to accelerate the processing and disbursement of the fund to qualified Nigerian shipowners.
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The minister said the intervention would unlock maritime investment, expand indigenous participation in coastal and offshore shipping, and create thousands of jobs.
NIMASA receives 92 CVFF applications
According to Oyetola, NIMASA has received 92 applications under the CVFF framework. Twenty applications have been forwarded to participating lending institutions, while one has been reviewed and cleared for final approval.
He described the latest development as a major milestone in the Federal Government’s efforts to build indigenous shipping capacity and enable Nigerian operators to compete more effectively for coastal and offshore contracts.
Oyetola recalled that he directed NIMASA in April 2025 to begin the disbursement process, ending years of administrative delays surrounding the fund.
The process received further momentum with the launch of the CVFF Application Portal in Lagos on January 22, providing eligible shipowners with a more transparent and structured application channel.
CVFF expected to create 30,000 jobs
Established more than two decades ago, the CVFF was designed to provide eligible Nigerian maritime operators with low-interest, long-term financing for vessel acquisition.
The minister said access to the fund would enable Nigerian shipowners to purchase vessels, compete for coastal shipping contracts and reduce the country’s dependence on foreign-owned vessels.
He projected that the intervention could generate more than 30,000 direct and indirect jobs across shipyards, marine engineering firms and maritime logistics companies.
Oyetola also said the number of Primary Lending Institutions involved in the financing programme was increased from five to 12 to broaden access and reduce loan-processing bottlenecks.
A recent industry report confirmed that the government had received 92 applications, forwarded 20 to lenders and cleared one for approval. However, indigenous operators will still need to complete the required lending and approval processes before funds are released. Waterways News
Previous attempts to disburse CVFF
The latest authorisation follows several unsuccessful attempts to release the accumulated fund.
In December 2019, the Federal Government announced that indigenous shipowners would begin accessing the fund in January 2020 following approval by then-President Muhammadu Buhari. The fund was estimated at ₦44.64 billion at the time.
The House of Representatives ordered the suspension of another planned disbursement in May 2023, citing inadequate information about the total amount accumulated and the absence of clear beneficiary records.
Following an investigation, the House approved the disbursement of an estimated $360 million to qualified Nigerian shipowners in June 2023.
In April 2025, NIMASA again announced plans to begin disbursement, with the fund then estimated at about $700 million.
Tinubu’s latest approval represents another effort to move the CVFF beyond announcements and administrative processes to the actual financing of vessel acquisition by Nigerian shipowners.
The initiative comes as the government seeks to strengthen indigenous maritime capacity, improve Nigeria’s compliance with international shipping standards and position the marine and blue economy as a significant source of investment and employment.
