$360m CVFF: Shipowners Face Fresh Hurdles As Banks Demand Contracts, 135% Collateral

Indigenous shipowners seeking to access the $360 million Cabotage Vessel Financing Fund (CVFF) face fresh hurdles as participating banks reportedly demand cargo or service contracts and collateral worth at least 135 per cent of loan amounts, raising concerns over the implementation of the long-awaited intervention scheme.
An investigation by LEADERSHIP revealed that the stringent lending conditions imposed by the 12 approved Primary Lending Institutions (PLIs) could frustrate efforts to disburse the fund to local shipowners, months after the Minister of Marine and Blue Economy, Adegboyega Oyetola, directed its release.
The banks are reportedly insisting that applicants provide cargo o...