NIMASA explains delay in disbursement of CVFF

Lagos -- The Nigerian Maritime Administration and Safety Agency, NIMASA, has explained the current delay in the disbursement of the Cabotage Vessels Finance Fund, CVFF, saying this was due to ongoing amendment in the Cabotage Act.

Director General of NIMASA, Dr. Dakuku Peterside, who disclosed this at the maiden edition of the Nigeria Maritime Finance Fair in Lagos, however, expressed

optimism that the ninth National Assembly will expedite action on the legislation. Peterside, who was represented by NIMASA Director in charge of Cabotage Services, Victor Egejuru, said efforts were being made for the upgrading of existing shipyards and support for new shipyard facilities.

He reiterated his agency’s commitment to ensuring the end of waiver regimes in the maritime sector within its earlier stipulated timelines.

Also speaking at the event, the Managing Director of the Bank of Industry, Kayode Pitan, revealed that the Bank has disbursed $82m (about N2.9billion) to some indigenous investors in the country for the purchase of ships and support of companies involved in ship repairs and allied investments from a $200 million fund under Nigerian Content Intervention Fund, NCIF.

Managing Director of BoI, Kayode Pitan, said this in Lagos at the maiden edition of Nigeria Maritime Finance Fair in Lagos.

Pitan, who was represented by Victor Agina, added that the funds provided have created 3,117 jobs across the country.

He also urged NIMASA to partner the bank in the management and disbursement of its Cabotage Vessels Finance Fund.

Pitan explained to maritime stakeholders that companies with about 51 percent of Nigerian citizens equity that sources at least 40 percent of their raw materials locally are eligible for the bank’s loans.

He added that borrowers under the NCIF scheme were entitled to loan facilities with a five-year tenure inclusive of a one-year moratorium.