Nigerian shipowners have urged caution and the need to put firm measures in place to guide against unscrupulous practices by potential lenders of the single obligor of $25 million Cabotage Vessel Financing Fund (CVFF) expected to commence soon.
They however commended the Minister of Marine and Blue Economy, Adegboyega Oyetola, over his recent directive to the Nigerian Maritime Administration and Safety (NIMASA) to begin the process for the disbursement of the long-awaited funds.
Stakeholders agreed that the directive marks a significant shift from over two decades of administrative stagnation and ushers in a new era of strategic repositioning of Nigeria’s indigenous shipping.
Speaking, Managing Director of Starzs Marine and Engineering Ltd, Greg Ogbeifun, said the Minister’s directive is a welcome development that will further spur the growth of the sector.
Ogbeifun, who is the former President of the Shipowners Association of Nigeria (SOAN), however, urged the government to allow due process according to the requirements of the Act to be followed.
According to him, the Minister is acting accordingly by taking the bull by its horns through the disbursement of the fund.
“The Minister’s move is extremely commendable. Extremely, extremely commendable. The important thing is that due process according to the requirements of the Act has to be followed. So, that’s the summary. I think it’s a very commendable step. I’ve looked at the marine notice that was sent out and I think it’s majorly in line with the requirements of the Act.
“Even when you look at the previous guidelines, there is good reason to at least believe that the Minister is acting accordingly. But I don’t know if the requirements of the Act as it relates to the legislating part of government are followed.
He further agreed that the directive would finally unlock the long-standing issue of disbursement of the CVFF.