Headlines

NIMASA reads riot act to banks over disbursement of CVFF

—- asks them not to scare away ship owners with unnecessary collaterals

—- gives them 72 -hr ultimatum to come up with harmonised procedures for disbursement

The Eyewitness reporter

The Nigeria Maritime Administration and Safety Agency (NIMASA) have met with the five Primary lending institutions (PLIs) selected by the federal government to drive the disbursement process of Cabotage Vessels Financing Funds ( CVFF).

The PLIs approved for the fund’s disbursement are Zenith bank, Polaris bank, United Bank of Africa (UBA) Jaiz bank, and Union bank.

Addressing the Heads of the financial institutions at the Corporate Headquarters of the agency Tuesday, the Director General of NIMASA, Dr. Bashir Jamoh, spelt out the expectations of the government to the PLIs over the long-awaited disbursement of the Cabotage funds.

According to him, the desire of the government was to disburse the funds as quickly as possible but also to avoid the mistakes of the previous intervention funds.

He said the funds are ready and the agency was ready to collaborate with the lending institutions to ensure the success of the project.

Reacting to the request of one of the banks for a 50 percent guarantee by the benefiting ship owners, Dr. Jamoh reminded them that the 50 percent counterpart funding from NIMASA is in dollars which he said would be sent to the banks.

He warned that government would frown at any unnecessary demand for collaterals which may scare the ship owners from accessing the loans.

”We don’t want a situation whereby the banks will be asking for the father and mother of the ship owners and other collaterals that may make the prospective beneficiaries of the funds get scared”

He advised them that in as much as the issue is within the purvey of the banks, he noted that the banks, as a way of securing their investments, could tie the funds to particular shipyards from where the vessels purchased by the money are coming from.

He also asked the banks to look at the area of cabotage contracts secured by the beneficiaries which the bank can use as part of the guarantee.

Jamoh warned that asking for any other guarantee may slow the process of disbursement which government frowns at.

Earlier, the head of enterprises, Polaris bank, Femi Aribaloye, raised concerns on the risks involved on the part of the banks and the volatility of the shipping industry

“Whatever it is that we needed to do in terms of structure and interest will be carried out, but I think the ultimate or the most important thing here is to ensure that this thing is successful and that’s why we are here and that’s why this particular fund is now being disbursed in collaboration with the bankers.”We are also very much aware of the environment in which we operate, we know things can be a little bit turbulent, and policies and the economic situation might change so, I just want to find out since its also within the purview of the Ministry of Transportation, if there is anything that can be done to further minimize the risk that the PLIs are going to be carrying.

” We look at the chance of the possibility of a partial guarantee because as financial institutions, we would like to ensure that everything is done rightly,” he said.

However, NIMASA DG disclosed that the agency had given the disbursing institutions 72 hours to come up with harmonised position on the modalities for disbursement of the dollar component of the funds which is put at $350 million.

According to him, the banks are expected to come up with issues such as the interest rate, tenor, collateral, and other requirements needed to access the fund.

According to him, the interest rate must be of international best practices because the money to be released to the banks is in foreign currencies and not local currency.He, however, stated further that the disbursement of CVFF can’t start without stakeholders’ engagement, saying that was why the agency met with PLIs.

“We can’t start disbursement without stakeholders’ engagement, therefore, stakeholders’ engagement starts today(Tuesday)

” We are on track, we have started with the PLIs and all five of them are here today. We have listened to them and they listened to us and from all indications, they are ready for us as well.”

“What we want them to do now is to allow them to come up with a collective decision and that cannot take more than 72 hours.

“As we are leaving this boardroom, they will sit down and decide on a date because we don’t want them to come individually to us with their own interest rate, we want them to have a consensus and a standard template on the disbursement of funds as well as the interest rate.

” This is what we advised them to do and as soon as they finish that, we will then invite the shipowners,” he said.

When asked what the interest rate and the collaterals needed by shipowners to access the loans are, he said the guidelines will disclose that.

“The guidelines will tell us the interest rate and how the interest rate is supposed to be, the tenor, and the collateral because we won’t allow them to come and make the shipowners feel very insecure.”

“I mentioned to them on the issue of collateral, you all have NIMASA money with you, so all these things will be deliberated among themselves, let’s allow them to go through our guidelines seriously and see how they can adjust within themselves because we are giving them international currency, not Nigerian currency, they cannot start looking at Nigeria lending rate but the uniform international best practices so we are still on track because the guidelines stipulated everything, “he said.

Speaking earlier, the Managing Director of Jaiz bank, Dr. Sirajo Salisu, assured indigenous shipowners that the fund would be disbursed to them at the appropriate time.He, however, warned the shipowners that CVFF is not a grant or money that can be received without paying back to the banks.

“We will try our best to partner with the beneficiaries or the proposed beneficiaries of these funds and I believe they are much aware that this is not a grant, this is not money that they will just take away, this is money that is meant for a purpose and we will ensure that that purpose is achieved to the benefits of the country.”

NIMASA will contribute 50 percent of counterpart funds, the banks (PLIs) will provide 35 percent while the remaining 15 percent will be provided by the benefiting ship owners.

Related Topics:featured NIMASA reads riot act

Up Next

NPA, ICRC study requests for more deep sea ports in Nigeria

Don't Miss

Buhari commissions, hands over $1.5 billion Lekki seaport to Tolarams Group for 45 years

Click to comment

Customs

KLT Customs reaffirms commitment to stronger maritime stakeholder engagement

Deputy Comptroller Bolaji Adigun

Gloria Odion, Maritime reporter
‎
‎The Acting Customs Area Controller (CAC) of the Kirikiri Lighter Terminal (KLT) Area Command of the Nigeria Customs Service (NCS), Deputy Comptroller Bolaji Adigun, has reaffirmed the Command’s commitment to deepening engagement with stakeholders across the maritime industry in line with efforts to promote trade facilitation, transparency, and sustainable economic growth.
‎
‎Adigun gave the assurance through the Deputy Comptroller in charge of Administration, Comptroller T.A. Jonah, who represented him during a courtesy visit by the newly elected Executive Committee of the Maritime Reporters Association of Nigeria (MARAN) to the Command in Lagos.
‎
‎The Acting CAC, who was unavoidably absent, underscored the importance of sustained collaboration between the Nigeria Customs Service and key industry stakeholders, particularly the maritime media, in advancing the Service’s mandate and supporting national economic development.
‎
‎He described the media as a critical partner in disseminating information on government policies, customs reforms, trade facilitation initiatives, revenue generation, and anti-smuggling operations.
‎
‎According to him, maritime journalists occupy a strategic position in shaping public understanding and perception of activities within the port and maritime sector, stressing the need for professionalism, accuracy, and balanced reportage in the discharge of their duties.
‎
‎Adigun further assured the MARAN delegation that the KLT Area Command would continue to operate an open-door policy while fostering cordial and productive relationships with stakeholders within the maritime community.
‎
‎Earlier in his remarks, the President of MARAN, Mr. Oluyinka Onigbinde, stated that the visit formed part of the association’s ongoing stakeholder engagement initiative following the inauguration of its newly elected executive committee.
‎
‎Onigbinde explained that the purpose of the visit was to formally introduce the new leadership of the association to the Command and strengthen the longstanding relationship between MARAN and the Nigeria Customs Service.
‎
‎He commended the KLT Area Command for its contributions to trade facilitation, revenue generation, and enforcement activities, describing the Command as a vital component of Customs operations within Nigeria’s port system.
‎
‎The MARAN President also reaffirmed the association’s commitment to professional, objective, and development-driven journalism, noting that maritime reporters play a significant role in promoting informed discourse on issues affecting the industry.
‎
‎He further assured the Command of MARAN’s continued support for initiatives aimed at enhancing efficiency, transparency, and competitiveness within Nigeria’s maritime sector through responsible and factual reporting.

Headlines

One infant, three adults die, several others sustain injuries in fatal train derailment along Warri- Itakpe route

Funso OLOJO, Editor

The Nigerian Railway Corporation (NRC) has confirmed the death of four passengers in a train derailment along the Warri–Itakpe Train Service (WITS) corridor near Agbor, Delta State on Monday, June 8th, 2026.

Several others suffered various degrees of injuries.

In a statement by the Ministry of Transportation and signed by its Permanent Secretary, Engr. Funsho Adebiyi, the victims included two female adults, one male adult and one infant.

The accident involved four coaches which reportedly capsized while one coach derailed, resulting in the unfortunate loss of four lives.

The statement confirmed that a total of 442 passengers were booked on the train, while 40 crew members, security personnel, and third-party service providers were also on board, bringing the total number of persons on the train to 482.

The NRC had activated immediate rescue and evacuation operations with the support of the Delta State Government, NEMA, FRSC, the Police, Civil Defence, local authorities, security agencies, and other emergency responders, and were completed by 6:30 p.m on Monday .

The Injured passengers were evacuated to medical facilities in Agbor for treatment.

Other notable individuals on board included the Senator representing Delta Central Senatorial District, Senator Ede Dafinone, and former Delta State Secretary to the State Government, Hon. Patrick Ukah, among others.

As of the time of this release, 24 serious injuries have been recorded, while several other passengers sustained varying degrees of injuries and are receiving medical attention.

One NRC staff member suffered a traumatic limb injury and is currently receiving treatment and is reported to be in stable condition.

“The Ministry and the NRC extend their deepest condolences to the families of the deceased and pray for the quick recovery of all those injured.

“The Corporation also appreciates the swift intervention of the Delta State Government, emergency responders, security agencies, the NRC Mechanical Directorate, the Special Rescue and Emergency Team, medical personnel, and members of the public who assisted in the rescue efforts” the statement declared.

The ministry said full onboard manifest has been retrieved and will be made available upon request by the relevant authorities while efforts are ongoing to identify all the injured and deceased persons for proper documentation.

The Ministry in conjunction with the NRC have commenced a full investigation into the cause of the accident while efforts will continue to account for all passengers and provide the necessary support to those affected.

Commentaries

Why Nigeria must prioritize competency development and standards to harness gains of blue economy

Funso OLOJO, Editor

Nigeria is endowed with vast maritime resources which offer enormous opportunities for economic growth, employment generation, food security, and environmental sustainability.

With its fabled over 850 kilometers of coastline, extensive inland waterways, and strategic access to the Gulf of Guinea, the country is naturally blessed to emerge as a hub for maritime activities in Africa.

However , taking advantage of these huge massive maritime opportunities should be the priority of Nigerian government which must be intentional on developing competency level of its Maritime professionals and raise their

adherence to international standards.

The blue economy encompasses diverse sectors including shipping, fisheries, aquaculture, marine tourism, offshore energy, maritime logistics, shipbuilding, and marine environmental management.

These sectors are highly knowledge-driven and require a workforce equipped with specialized skills and globally recognized certifications.

Without competent professionals, Nigeria risks losing economic opportunities to countries with better-trained maritime personnel and stronger institutional frameworks.

Competency development is essential for enhancing productivity, safety, and operational efficiency across the maritime sector.

Skilled seafarers, marine engineers, port operators, logistics professionals, and environmental experts are critical to ensuring that maritime activities meet international best practices.

As global shipping and offshore industries become increasingly technology-driven, continuous training and capacity building are necessary to keep Nigerian professionals competitive in the international labour market.

Skilled maritime professionals such as seafarers, marine engineers and allied personnel in the sector could be sources of foreign exchange earnings for Nigeria as they could be exported to the international community.

Philippines and India are the world’s top exporters of skilled maritime personnel such as seafarers where they get the chunk of their foreign exchange.

If Nigeria could develop such capacity in skilled labourers in the sector and export their expertise, the country could harvest bountifully from such venture.

Equally important is the adoption and enforcement of internationally recognized standards.

Standards provide the framework for quality assurance, safety management, environmental protection, and operational excellence.

Compliance with global maritime standards established by organizations such as the International Maritime Organization(IMO) and the Nautical Institute enhances Nigeria’s credibility as a maritime nation and attracts foreign investment.

Investors and international partners are more likely to engage with institutions and businesses that demonstrate compliance with recognized benchmarks.

That is why the recent certification of the Maritime Centre of Excellence operated by NLNG Shipping and Marine Services Limited by the UK Nautical Institute is germaine to Nigeria’s quest to develop training capacity and build compliance with standard procedures

This feat also underscores the importance of world-class training institutions in building local capacity.

That is why the government should give necessary assistance to training institutions in Nigeria such as Maritime Academy of Nigeria(MAN), Oron and the Maritime Centre of Excellence operated by NLNG Shipping and Marine Services Limited.

Such government patronage and assistance will not only improve the quality of maritime training in Nigeria but also position the country as a regional centre for maritime education and professional development.

Prioritizing competency development and standards will also contribute significantly to maritime safety and environmental sustainability.

Well-trained personnel are better equipped to prevent accidents, manage maritime risks, and respond effectively to emergencies.

Furthermore, adherence to environmental standards helps reduce marine pollution, protect biodiversity, and ensure the sustainable utilization of ocean resources, which are fundamental pillars of the blue economy.

From an economic perspective, a competent workforce and strong standards framework can increase Nigeria’s participation in global maritime trade, create high-value jobs, reduce dependence on foreign expertise, and improve the country’s competitiveness.

It also supports local content development by enabling Nigerian professionals and companies to meet the requirements of international contracts and projects.

In conclusion, competency development and standards are not optional components of Nigeria’s blue economy strategy; they are foundational requirements for its success.

By investing in human capital, strengthening training institutions, and enforcing internationally accepted standards, Nigeria can fully harness the immense potential of its maritime resources and transform the blue economy into a major driver of national development, economic diversification, and sustainable growth.