*It’s a milestone for cabotage implementation – NIMASA
The Nigerian Maritime Administration and Safety Agency (NIMASA) has received support from the House of Representatives to disburse the $360 million Cabotage Vessel Finance Fund (CVFF) to qualified Nigerian ship-owners.
A committee of the House chaired by Hon. Legor Idagbo in its report gave the nod for disbursement at the end of its investigation.
According to a statement by Assistant Director, Public Relations, NIMASA Osagie Edward, “The Committee requested the Nigerian Maritime Administration and Safety Agency and the Ministry of Transportation to provide detailed information on the total amount accrued to the Fund and disbursements since inception.
“The Committee met with the Minister of Transportation and the Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA) on Thursday, 11 May 2023 to find out about the details concerning the matter.
“After a thorough analysis of the various submissions, coupled with the explanations given by the Ministry and NIMASA, the Committee discovered that due process was followed in the planned disbursement of the Cabotage Vessel Finance Fund.
“It was also discovered that the total funds of $360m in the Cabotage Vessel Finance Fund (CVFF) account with the Central Bank of Nigeria (CBN) represents 50%, while the remaining counterpart funds of 50% is from stakeholders and banks, which is 15% and 35% respectively”.
The Committee commended the Nigerian National Petroleum Corporation Limited (NNPCL) for its commitment to awarding shipping contracts to indigenous companies that have built capacity to the level where they can successfully execute these contracts.
Reacting, NIMASA Director General Dr. Bashir Jamoh, thanked the lawmakers for their interest in verifying the due process being followed by the agency.
Dr. Jamoh who expressed optimism that the NNPCL’s resolve to award maritime contracts to indigenous companies will give strength to the Cabotage regime being championed by the Agency, reaffirmed NIMASA’s transparency resolve in all facets of the Agency’s operation
The DG also called for more stakeholder support, saying the CVFF will evolve into greater benefit for more Nigerians, and grow the per capita income and Gross Domestic Product (GDP) of Nigeria, through the maritime industry.
