The Federal Government has announced plans to provide qualified Nigerian shipowners with up to $25 million each under the long-delayed Cabotage Vessel Financing Fund (CVFF), in a move aimed at boosting indigenous shipping and creating more than 30,000 direct and indirect jobs.

The Minister of Marine and Blue Economy, Adegboyega Oyetola, disclosed this on Monday, saying the government was set to begin the disbursement of the fund more than two decades after it was established to strengthen Nigeria’s indigenous maritime industry.

FG moves to unlock 20-year-old vessel financing fundOyetola, in a post on his X handle, described the planned disbursement as a major step towards developing a stronger Nigerian-owned shipping industry and retaining more of the economic value generated within the country’s maritime sector.

He said each successful applicant could access up to $25 million in financing to acquire vessels, subject to the required assessment and approval process.

According to the minister, the availability of affordable, long-term financing has remained one of the biggest obstacles limiting the growth and competitiveness of Nigerian-owned shipping companies.

He said access to low-interest financing would enable indigenous operators to acquire modern vessels, expand their fleets and compete more effectively for coastal and offshore contracts currently dominated by foreign companies.

NIMASA to fast-track CVFF disbursement

Oyetola said he had directed the Nigerian Maritime Administration and Safety Agency (NIMASA) to accelerate the process of disbursing the CVFF to qualified applicants.

The minister disclosed that NIMASA had so far received 92 applications, with 20 forwarded to the approved lending institutions and one application already reviewed and sent for approval.

He said the number of approved banks participating in the scheme had also been increased from five to 12 Primary Lending Institutions, while a dedicated CVFF Application Portal had been launched to make the process more transparent and accessible.

CVFF expected to create over 30,000 jobsAccording to Oyetola, the impact of the fund will extend beyond vessel acquisition, with increased indigenous ownership expected to stimulate activities across Nigeria’s wider maritime economy.

He said a stronger indigenous fleet could boost shipbuilding, shipyard operations, marine engineering, vessel maintenance, maritime logistics and other supporting industries.

The minister projected that the initiative could create more than 30,000 direct and indirect jobs, while strengthening Nigeria’s ship-owning and shipbuilding ecosystem.

Oyetola said the initiative forms part of the Tinubu administration’s Blue Economy agenda, aimed at expanding indigenous participation and ensuring that Nigerians derive greater economic benefits from the country’s maritime resources.

Government invests in seafarer developmentThe minister also highlighted ongoing efforts to develop the skilled workforce required to support Nigeria’s maritime ambitions.

He said 222 seafarers had received free professional training, while 333 cadets had completed academic training and obtained degrees.

In addition,Oyetola disclosed that 135 cadets under the Nigerian Seafarers Development Programme had obtained Certificates of Competency, while 7,059 Nigerian seafarers had been placed onboard vessels to gain sea-time experience.

He said vessel financing must be accompanied by skills development and indigenous enterprise if Nigeria is to build a sustainable maritime industry.

CVFF disbursement delayed for more than 20 years

The Cabotage Vessel Financing Fund was established under the Coastal and Inland Shipping (Cabotage) Act of 2003 to help Nigerian shipping companies acquire vessels and develop indigenous capacity.

However, despite being established more than 20 years ago, the fund had not been disbursed to beneficiaries.

The Federal Government launched the CVFF application portal in January 2026, announcing that successful applicants could access up to $25 million in financing.

NIMASA subsequently opened the application process to interested Nigerian operators.The agency said in April that it had received more than 60 applications within four months of opening the portal.

The latest figure from Oyetola, however, puts the number of applications at 92, with only one application so far reviewed and forwarded for approval.

The minister said the government remained committed to ensuring that Nigerians increasingly own, operate and benefit from economic activities in the country’s maritime space.