The House of Representatives Committee on Maritime Safety, Education and Administration has pledged full legislative backing for the modernisation of maritime laws to boost indigenous vessel ownership.
Speaking during an oversight visit to the Nigerian Maritime Resource Development Centre (NMRDC) in Kirikiri, Lagos, yesterday, the Deputy Chairman of the Committee, Uduak Odudoh, acknowledged concerns raised by the Nigerian Maritime Administration and Safety Agency (NIMASA) regarding the outdated maritime laws.
He assured that the House of Representatives would swiftly review and update the legal framework governing Nigeria’s maritime sector, promising an improved environment for operators.
Highlighting a major challenge in the industry, Odudoh lamented the low percentage of indigenous vessels, stating that less than five per cent of ships operating under NIMASA’s control belong to Nigerians.
He, however, expressed optimism that this would soon change with the activation of the Cabotage Vessel Financing Fund (CVFF), recently approved and domiciled with the Central Bank of Nigeria (CBN).
“With the CVFF disbursement finally on motion, there is hope that more Nigerians will own vessels, thereby reducing capital flight and creating employment opportunities.
“We commend the Minister of Marine and Blue Economy and task NIMASA with developing a robust implementation strategy. This is a critical moment in our maritime history,” he said.
He reiterated the Committee’s readiness to provide the necessary legislative and financial support, including supplementary budget approvals, where needed, to address pressing operational challenges faced by NIMASA.
Odudoh also revealed that the Committee would extend its oversight activities to other NIMASA formations across the country, ensuring uniformity in operational standards and responsiveness nationwide.
Odudoh also applauded the agency’s achievements in ensuring maritime security, especially its record of zero piracy incidents across Nigerian waters and the Gulf of Guinea in the last three years.
Speaking on the long-anticipated Cabotage Fund disbursement, the Director General of NIMASA, Dr Dayo Mobereola, clarified the status, noting that the fund would soon be operational following updated guidelines and a broader partnership with banks.
“We have expanded the number of Primary Lending Institutions (PLIs) from five to twelve. These banks will carry out the initial risk assessment and contribute 35 per cent of the loan, while NIMASA will provide 50 per cent,” Mobereola said.
He said this collaborative approach ensures that only viable, financially capable shipping companies access the funds, which are structured to be revolving and patient capital – single-digit interest and long tenures.
Mobereola emphasised the importance of ensuring Nigerian shipowners have both the financial and operational capacity to compete globally. He added that talks are ongoing with cargo generators such as NNPC and NLNG to prioritise Nigerian vessels, ensuring both access to funding and market opportunities.
