X-raying Deep Blue Project And NIMASA’s other transformative projects

During the launch of the Integrated National Security and Waterways Protection Infrastructure also called the Deep Blue Project, in Lagos, on June 10, 2021, President Muhammadu Buhari had declared that with the project, Nigeria had better capability to control its maritime domain. The President said the maritime security project offered a standard for other Gulf of Guinea countries in terms of strategy and collaboration.
 

Recently, Jamoh met with five banks including Union Bank, Jaiz Bank, Zenith Bank, Polaris Bank and United Bank of Africa (UBA) as part of efforts to disburse the CVFF. 
 
The apex maritime agency had given the banks 72 hours recently to provide procedures to be used in disbursing the fund.
 
The agency cautioned against unnecessary collaterals that would be difficult for the shipping companies to provide.
 
The NIMASA DG said the government wants to avoid the mistake of the past in which some of those who benefitted from the Ship Acquisition Fund and Ship Building Fund (SASBF) could not repay the loans.
 
He made it clear that the Federal Government was desirous to disburse the fund as soon as possible.

He disclosed that the 50 per cent counterpart funding was in dollars when the banks requested that the ship owners should provide 50 per cent counterpart funding. 
“We don’t want a situation where the banks will be asking for the father and mother of the ship owners and other collateral that may make the prospective beneficiaries of the funds get scared,” he said.
 
Jamoh, however, explained that what the agency expects the banks to come up with as the harmonised procedure for the disbursement includes the interest rate, tenor, collateral and other necessary requirements.
 
He added that the interest rate to be charged should be in line with international best practices since the CVFF would be given to the banks in foreign exchange.
 
How NIMASA would navigate the next election of the International Maritime Organisation (IMO)

Category C this year is also of keen interest to industry watchers. COVID-19, among other unforeseen circumstances, made it impossible for Nigeria to take part in the election in 2020.  It was the fourth time Nigeria lost the chance. The last election was held in December 2021.
 
Former Minister of State for Transportation, Gbemi Saraki, had out of frustration said in June last year that Nigeria would have to suspend further participation until she puts her house in order. In other words, issues of infrastructure bedeviling the sector will have to be addressed before taking another shot on the IMO Category C election.