The Federal Government has announced plans to begin disbursing the long-awaited Cabotage Vessel Financing Fund (CVFF), with qualified Nigerian shipowners eligible to access up to $25 million each to acquire vessels and expand their operations.
The Minister of Marine and Blue Economy, Adegboyega Oyetola, disclosed this on Monday, describing the development as a major step towards strengthening Nigeria’s indigenous shipping industry.
Oyetola said the government was moving to unlock the fund more than two decades after it was established under the Coastal and Inland Shipping (Cabotage) Act of 2003.
According to him, access to affordable, long-term financing has remained one of the major obstacles limiting the growth of Nigerian-owned shipping companies.
He explained that successful applicants would be able to secure financing at very low interest rates, enabling them to purchase modern vessels, increase their fleets and compete more effectively for coastal and offshore contracts currently dominated by foreign operators.
The minister said the initiative could also generate more than 30,000 direct and indirect jobs through increased activities in shipyards, marine engineering, vessel maintenance, maritime logistics and other supporting sectors.
Oyetola disclosed that the Nigerian Maritime Administration and Safety Agency had received 92 applications under the scheme, with 20 already forwarded to the approved Primary Lending Institutions for consideration.
He added that one application had so far been reviewed and forwarded for approval.
To accelerate the process, the government increased the number of approved banks participating in the scheme from five to 12 and launched a CVFF application portal aimed at making the process more transparent and accessible.
The minister said he had directed NIMASA to work closely with the 12 participating banks to speed up the disbursement of funds to qualified applicants.
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Oyetola also highlighted efforts by the Federal Government to develop the human resources required to support the maritime industry.
He said 222 seafarers had received free professional training, while 333 cadets had completed academic training and obtained degrees. He added that 135 cadets under the Nigerian Seafarers Development Programme had obtained Certificates of Competency.
According to him, 7,059 Nigerian seafarers have also been placed onboard vessels to acquire valuable sea-time experience.
Oyetola said the government’s objective was to ensure that more Nigerian-owned vessels operate on the country’s waters and that Nigerians take a greater share of the economic opportunities generated by the maritime sector.
The CVFF was established in 2003 to assist Nigerian shipping companies with vessel acquisition and the development of indigenous maritime capacity. However, its disbursement has remained stalled for more than 20 years.
The Federal Government launched the CVFF application portal in January 2026, with successful applicants announced as eligible to access up to $25 million in financing.
The minister said the latest development was part of the Tinubu administration’s efforts to unlock the potential of Nigeria’s Blue Economy, strengthen indigenous capacity and reduce foreign dominance in the maritime sector.