There are growing concerns over indigenous shipowners’ inability to access the controversial $700 million Cabotage Vessel Financing Fund (CVFF), as only 20 per cent of the 70 applicants have successfully met the eligibility requirements and are currently undergoing the relevant processing, 136 days after the portal was officially launched.

The CVFF portal became operational on January 22, 2026, to enable indigenous shipowners to process applications and access loans within 70 to 80 days at an interest rate of 6.5 per cent, with a repayment period of eight years.

A board member of the Nigerian Maritime Administration and Safety Agency (NIMASA), Iroghama Ogbeifun, revealed that 70 applications had been received through NIMASA’s Cabotage Services Department, adding that 20 applicants had successfully scaled through the screening process and are currently undergoing the relevant processing by the Primary Lending Institutions (PLIs).

“At this stage, the responsibility largely rests with the private sector to meet the credit and financing requirements of their respective PLIs and position themselves to access the fund,” she said.

This has raised questions about the stringent eligibility requirements introduced for the indigenous shipowners to access a $25 million credit facility each.

About 136 days after the launch of the portal, indigenous shipowners and maritime firms are yet to receive any funds, despite the agency’s projected timeline for processing and disbursement.

NIMASA had also assured stakeholders that it would release its own portion of the funds within 72 hours after all conditions were met, while the PLIs disburse the loans immediately to beneficiaries for the acquisition of vessels and other approved maritime assets.

Director of International Trade at the Maritime Researchers and Authors Association of Nigeria (MARASSON), Sunday Ademuyiwa, asked what has prevented the disbursement of the fund after presidential approval and why indigenous shipowners believe in the assurances given.

Ademuyiwa argued that the stringent eligibility requirements introduced exclude the majority of indigenous operators.

He said applicants were required to provide three years of audited accounts, contribute 15 per cent equity and demonstrate existing cabotage contracts, conditions he claimed disqualified about 85 per cent of indigenous shipowners.

Ademuyiwa added that even qualified applicants were asked to provide additional collateral beyond the financed vessels, making the scheme accessible mainly to a few large operators.

Ademuyiwa maintained that the repeated approvals granted to the CVFF since 2017 have failed to deliver results because the financing model was unsuitable for an industry constrained by limited collateral, inadequate long-term cargo contracts and high borrowing costs.

He, however, called for the monthly publication of the CVFF account statements maintained by the Central Bank of Nigeria (CBN) to assure industry stakeholders that the fund is being properly managed and not diverted.

Head of Research, Sea Empowerment and Research Centre (SEREC), Eugene Nweke, said there is currently no publicly verified evidence that actual disbursements have reached any indigenous shipowner beneficiary.

Nweke said that despite the renewed momentum, stakeholders remain cautiously optimistic due to previous failed implementation efforts and repeated delays in disbursement recorded under past administrations.

“Current indications suggest that most applicants are still undergoing documentation reviews, credit profiling and risk assessment processes with the participating financial institutions,” he stated.

Nweke added that available industry information suggests the process remains at the vetting, credit assessment and institutional processing stage.

SEREC, however, urged industry stakeholders, operators and the general public to exercise optimism pending official confirmation of successful beneficiary payouts and tangible vessel acquisition outcomes.