By Enyeribe Anyanwu
In April 2025, the Minister of Marine and Blue Economy, Adegboyega Oyetola, directed the Nigerian Maritime Administration and Safety Agency (NIMASA), to commence immediate disbursement of the over two decades old Cabotage Vessel Financing Fund (CVFF).
In response to the directive, NIMASA issued a Marine Notice inviting eligible Nigerian shipping companies to submit their applications. The marine notice, among other things, stated that qualified applicants will have the opportunity to access up to $25 million each. It also issued instructions and conditions and directed how the applicants can begin the process.
All these had a sense of urgency in them that created some excitement and expectation within the industry. Ship owners and all stakeholders heaved a sigh that at last the long-awaited disbursement of the CVFF had come. This was more so, as some months earlier (in 2024), a similar instruction had been issued by the minister when he said the President had made the disbursement of the CVFF a key performance indicator for the ministry that year.
A month after the Marine Notice, on Monday May 12, 2025, NIMASA organized a one-day interactive forum for stakeholders on the operationalization of the CVFF. At the forum, the minister dwelt on the transparency of the disbursement process, informing that a dedicated Secretariat Cabotage Unit had been established in order to ensure transparency and accountability. He also said clear eligibility criteria had been developed in partnership with 12 Primary Lending Institutions to facilitate access to the fund.
These flurry of activities heightened the expectation and gave the impression that the disbursement of the fund was already a fait accompli. In fact, for the rest of the year, observers thought disbursement had commenced, and were expecting to hear that some beneficiaries had emerged.
Surprisingly, on Thursday January 22, 2026, all they saw was another ceremony –a bigger ceremony –the launching of application portal, adding to the long list of ceremonies and motions in the endless journey to the disbursement of the embattled fund.
The portal launching held at the prestigious Eko Hotel & Suites, Victoria Island, Lagos, was a huge ceremony with the marine and blue economy minister, heads of maritime agencies, senators, House of Representatives members, Nigerian ship owners, maritime lawyers and key stakeholders gracing the occasion. It was, indeed, a colourful ceremony, with the usual display of government extravagance.
The government officials took turns to regurgitate all the good things that had been said several times over about the CVFF. They told of how the CVFF would inject vital capital into the hands of indigenous shipping operators, allowing them to build capacity, create jobs, and contribute significantly to the economy. They rehearsed all the benefits that would follow the disbursement of the CVFF over and over again.
The lawmakers congratulated and commended the minister and NIMASA for developing and launching the portal. Even maritime lawyers and stakeholders also joined in the praise for the establishment of the portal.
Ordinarily, developing a portal to facilitate the disbursement of the Fund is not something to split hairs about. But what is worrisome is the portal coming after one thought the disbursement process had already begun. Added to this is the huge fund expended in launching a mere portal that only required information and publicity. No doubt, a portal that could hardly take up to N2million to build may have been launched with over N200m.
Industry observers are familiar with how public ceremonies gulp huge funds. A conservative estimate for the launching may have comprised the cost of flights for the senators, house members and other invited dignitaries and officials, hotel accommodations, venue rental and technical production, stage, lighting, LED screens, media coverage and publicity, catering and refreshments. Others may include: protocol, transport, and security; souvenirs, banners, printed materials, consultancy and logistics coordination.
Individually, each line may appear routine and inconsequential. But together, they can rival the cost of acquiring maritime equipment or enhancing the facilities of a maritime training institution.
The bitter truths:
For two decades, ship owners have contributed to the Cabotage Vessel Financing Fund. Repeatedly, they have been told disbursement was imminent.
This time, anticipation rose after official directives, new regulations, and stakeholder meetings suggested the jinx had finally been broken.
Yet what arrived was another ceremony — this time the unveiling of an application platform. Contrary to observers’ expectation, there were no beneficiaries, no signed loan agreements, no drawdown dates, just procedure.
It’s unfortunate that where other maritime nations judge interventions by the number of vessels financed, jobs created, tonnage added, global competitiveness gained, in Nigeria we are still applauding the beginning of a loan application process.
The NIMASA DG made it clear that application through the portal does not guarantee disbursement to the applicant. Yet, government officials and apologists applauded the portal as if the disbursement of the CVFF has begun.
Truly a portal can be useful. It may improve documentation and tracking. But it is not a guarantee, since it does not remove the monster that has held up the disbursement of the Fund over the years.
If applicants pass through the digital gates only to meet bank hurdles and other brick walls, then technology has merely modernized disappointment.
All that the ship owners actually need is clarity that banks will lend, approvals will be timely, political winds will not change criteria midstream, and funds will truly leave bank vaults or whatever vault it is being held.
Until that happens, all that is going on is motion, without progress.
As a matter of fact, we have had enough speeches, ceremonies, and declarations of support for indigenous capacity. All that has been lacking is seriousness and sincerity.
Twenty-three years after the CVFF journey began, Nigeria’s maritime industry should be counting and celebrating new vessels, not new portals.
At the moment, it has been announced that Presidential approval for the disbursement of the fund has been given, and NIMASA will soon begin disbursement to the 60 applicants who have indicated interest through the application portal.
As usual, stakeholders have received the ‘news’ with cautious optimism and skepticism, having heard such announcement several times. This time, will the case different?
