Blue Economy
CVFF at 23: Nigeria’s Ship Owners Still Counting Ceremonies, Not Vessels
CVFF at 23: Nigeria’s Ship Owners Still Counting Ceremonies, Not Vessels
Two decades of contributions, a flurry of directives, forums and portal launches — but no single kobo has left the vault. As Presidential approval is again cited, stakeholders are asking: will this time be different?
By Emetena Ikuku | Waterways News Maritime Desk
For twenty-three years, Nigerian ship owners have paid into the Cabotage Vessel Financing Fund. For twenty-three years, they have been told disbursement is imminent. Today, the fund remains undisbursed — and the maritime industry has grown weary of applauding the machinery of process rather than the delivery of capital.
The latest chapter in this drawn-out saga unfolded in April 2025, when Minister of Marine and Blue Economy, Adegboyega Oyetola, directed the Nigerian Maritime Administration and Safety Agency (NIMASA) to commence immediate disbursement of the long-embattled CVFF. NIMASA responded by issuing a Marine Notice inviting eligible indigenous shipping companies to submit applications, with qualified operators able to access up to $25 million each. The notice carried a tone of urgency. After years of false dawns — including a 2024 directive from the same minister citing Presidential designation of the CVFF as a key performance indicator for his ministry — industry stakeholders allowed themselves to feel optimistic.
A month later, in May 2025, NIMASA convened a one-day interactive forum at which the minister spoke of transparency mechanisms, a dedicated Cabotage Secretariat Unit, and partnerships with twelve Primary Lending Institutions. The expectation was almost palpable: the jinx, it seemed, had finally been broken.
It had not.
Another Ceremony, Another Threshold
On 22 January 2026, what the industry received was not a disbursement — it was another launch. At the Eko Hotel & Suites, Victoria Island, Lagos, an elaborate ceremony marked the unveiling of an online application portal. Senators, House of Representatives members, shipping company executives, maritime lawyers, agency heads and ministry officials were in attendance. Speeches were made. Officials rehearsed the familiar catalogue of benefits that CVFF disbursement would deliver — indigenous capacity growth, vessel acquisition, job creation, GDP contribution. Lawmakers congratulated NIMASA and the minister. Even maritime lawyers joined the chorus of commendation.
What was absent was any announcement of a beneficiary, a signed loan agreement, or a drawdown date.
The portal, while not without utility as an administrative tool, arrived at a moment when observers had every reason to believe disbursement had already commenced. Industry watchers who had followed proceedings through 2025 were not expecting to celebrate the beginning of an application process — they were expecting to hear of vessels being financed.
The Cost of Ceremony
Beyond the optics of process over outcome, a harder question hangs over the January launch: how much did it cost to unveil a digital portal? Flights and accommodation for invited senators and dignitaries, venue hire and production at one of Lagos’s premier hotel venues, LED screens, stage and lighting, catering, security, media coverage, consultancy and logistics — each line item may appear routine in isolation. Together, analysts note, they could rival the capital outlay for maritime training infrastructure or auxiliary vessel equipment.
A portal of the nature launched could plausibly have been built and publicised for well under N2 million. The ceremony around it almost certainly cost a multiple of that figure. In a sector crying out for capital, the allocation of scarce resources to spectacle over substance invites legitimate scrutiny.
The Structural Problem a Portal Cannot Solve
NIMASA’s Director-General has been explicit that submission of an application through the portal does not guarantee disbursement. This is an important admission, because it locates the real obstacle precisely where it has always been: not in the absence of a digital gateway, but in the structural conditions that have historically prevented approved applicants from actually receiving funds.
Bank lending appetite, eligibility criteria that shift with political priorities, approval timelines, and the sheer inertia of bureaucratic process — these are the walls that an application portal does not demolish. If Nigerian ship owners navigate a sleek digital interface only to encounter the same institutional blockages downstream, technology will have succeeded only in modernising disappointment.
What indigenous operators need is not another threshold to cross. They need certainty: that banks will lend, that criteria will remain stable, that approvals will be timely, and that funds will physically transfer.
Presidential Approval — Again
At the time of writing, it has been announced that Presidential approval for CVFF disbursement has been secured, and that NIMASA is preparing to disburse to sixty applicants who have registered interest through the portal. The announcement has been received by stakeholders with the circumspect caution of people who have been here before — not dismissal, but a measured wait-and-see that reflects the fund’s long history of near-misses.
The question the industry is asking is not whether the announcement is well-intentioned. It is whether, this time, the outcome will match the declaration.
Nigeria Watch
The CVFF was established under the Coastal and Inland Shipping (Cabotage) Act of 2003 to provide concessionary financing for Nigerian shipping companies to acquire vessels and compete in domestic waters. Over two decades, the fund has accumulated levy contributions from foreign shipping operators engaged in Nigerian cabotage trades — a pool now estimated at hundreds of millions of dollars.
Repeated failure to disburse has meant that the fund’s intended purpose — growing an indigenous fleet capable of displacing foreign operators in Nigerian coastal and inland trade — remains largely unrealised. Nigeria’s flag carrier ambitions, currently being pursued through the AD Ports Group and DP World partnership frameworks, sit alongside a CVFF that has yet to finance a single verified vessel acquisition at scale.
For NIMASA DG Dayo Mobereola, whose agency has staked significant institutional credibility on this disbursement cycle, the coming weeks will be definitive. For Minister Oyetola, the CVFF remains a litmus test for whether the Federal Ministry of Marine and Blue Economy can translate maritime policy ambition into measurable fleet development outcomes.
Twenty-three years after contributions began, the industry is not asking for another milestone in the process. It is asking for vessels in the water.
Lagos Deputy Speaker Throws Weight Behind 8th WISTA Africa Conference
By Samson Onoharigho | Waterways News
The Deputy Speaker of the Lagos State House of Assembly, Rt. Hon. Mojisola Lasbat Meranda, has pledged her support for the 8th WISTA Africa Regional Conference and confirmed she will personally attend the continental maritime event, billed to take place in Lagos later this month.
Meranda gave the commitment when she received a delegation of the Women’s International Shipping and Trading Association (WISTA) Nigeria, led by its President, Dr. Odunayo Ani, during a courtesy visit to her office. The visit formed part of WISTA Nigeria’s pre-conference stakeholder outreach, targeting key institutional and legislative voices ahead of the gathering expected to draw policymakers, maritime regulators, industry operators, development partners, academics and professionals from across Africa.
Ani formally invited the Deputy Speaker and women across Lagos State to participate in the conference, scheduled for June 25 and 26, 2026, at Eko Hotel and Suites, Victoria Island, Lagos. She said the event, themed “From Policy to Implementation: Women Advancing Africa’s Blue Economy through Sustainable Shipping, Trade and Energy Innovation,” would focus on translating high-level policy commitments into concrete, sector-wide action.
The WISTA Nigeria president underscored Lagos’s pivotal role in Africa’s maritime economy, arguing that the visible participation of women leaders from the state would lend significant weight to ongoing advocacy for broader female representation in maritime decision-making, innovation, and economic governance.
A group photograph of WISTA Nigeria delegation with the Lagos Deputy Speaker, during a courtesy visit last week
“The support and participation of women leaders in Lagos State will enrich discussions and help advance the drive for greater female representation and inclusion across Africa’s maritime and blue economy sectors,” Ani said.
She also called on the Lagos State House of Assembly to mobilise women across the state for the conference, describing it as a rare platform for shaping a more inclusive and equitable future for Africa’s blue economy.
Responding warmly, Meranda commended WISTA Nigeria’s consistent contributions to championing women in the maritime industry and reaffirmed her longstanding relationship with the association. She confirmed her attendance and pledged active support for initiatives geared toward widening women’s participation across the blue economy value chain.
Nigeria Watch
The 8th WISTA Africa Regional Conference arrives at a moment of heightened policy activity in Nigeria’s maritime sector — from ongoing cabotage reform conversations and the CVFF disbursement saga to the broader push to position Nigeria as the hub of Africa’s blue economy. That WISTA Nigeria chose Lagos as the host city is no accident: with the Apapa and Tin Can Island ports, the emerging Lekki Deep Seaport complex, and the administrative machinery of NIMASA and the NPA all concentrated in the commercial capital, Lagos remains the operational heartbeat of Nigeria’s shipping industry.
What stands out about this edition is the deliberate legislative buy-in. Securing the endorsement of the Lagos Deputy Speaker is not merely symbolic — it signals an attempt to build bridges between the maritime industry and the lawmaking architecture that ultimately shapes port governance, cabotage enforcement, and blue economy investment policy. For an industry that has long complained of regulatory fragmentation and legislative indifference, that kind of outreach matters.
The conference theme — moving from policy to implementation — also resonates sharply in the Nigerian context. Nigeria has no shortage of blue economy frameworks, maritime masterplans, and gender inclusion commitments on paper. The harder challenge, as industry stakeholders consistently note, is converting those documents into enforceable regulation, funded programmes, and genuine career pathways — particularly for women, who remain significantly underrepresented at the senior levels of Nigerian shipping, port management, and maritime trade.
Port operators, shipowners, freight forwarders and terminal managers attending the June 25–26 conference would do well to engage the implementation-focused sessions closely. The conversations there are likely to feed back into the policy pipeline affecting their operations.
Waterways News | Maritime & Blue Economy Reporting
Nigeria Projects Blue Economy Vision at Our Ocean Conference in Mombasa
By Okeoghene Onoriobe | Waterways News Correspondent
Nigeria has stepped onto the global stage to assert its maritime ambitions, with the Minister of State for Foreign Affairs, Ambassador Sola Enikanolaiye, representing President Bola Tinubu at the Our Ocean Conference currently holding in Mombasa, Kenya.
The three-day summit, running from June 16 to 18, convenes heads of state, ministers, investors, environmental advocates, policymakers and civil society leaders to advance concrete solutions for protecting the world’s oceans while unlocking their economic potential. Since its founding in 2014, the conference has built a reputation as one of the world’s most outcome-driven environmental forums, with a strong record of converting pledges into verifiable action.
This year’s edition places Africa’s blue economy at the centre of deliberations, acknowledging its role in sustaining more than 50 million livelihoods across the continent’s 38 coastal nations. Key discussions are focused on persistent threats to marine ecosystems — illegal, unreported and unregulated (IUU) fishing, plastic pollution, rising ocean temperatures and the urgent need for expanded marine protected areas.
Nigeria is expected to use the platform to articulate its position as West Africa’s foremost maritime nation, drawing attention to ongoing efforts to develop its blue economy framework, reinforce maritime security architecture in the Gulf of Guinea, and improve ocean health across its coastline and exclusive economic zone (EEZ). The delegation is also expected to advance engagement with international partners on mechanisms to scale up sustainable ocean-based industries and deepen regional cooperation frameworks.
The conference programme extends beyond diplomatic exchanges to include investment forums, a BlueTech exhibition, youth leadership tracks and specialised policy clinics designed to drive innovation in climate adaptation and sustainable ocean governance. Organisers expect the gathering to catalyse fresh inflows of public and private capital into marine conservation and sustainable fisheries management.
Nigeria Watch
Nigeria’s participation in the Our Ocean Conference comes at a moment when the country’s blue economy agenda is still more aspiration than architecture. While the Tinubu administration has spoken broadly of harnessing Nigeria’s vast ocean resources — from fisheries and aquaculture to offshore energy and maritime tourism — the policy frameworks and funding mechanisms needed to convert that vision into commercial reality remain largely underdeveloped.
For Nigeria’s port operators, terminal managers and shipping stakeholders, the Mombasa summit carries practical significance beyond the diplomatic optics. International ocean governance commitments increasingly intersect with commercial maritime operations: stricter IUU fishing enforcement, expanded marine protected zones and emerging blue carbon markets all have direct implications for how shipping lanes, offshore logistics corridors and coastal port infrastructure are managed.
Equally notable is the investment dimension. The Our Ocean Conference has historically generated significant financing pledges for ocean-related projects. Nigeria’s ability to attract a share of that capital — particularly for port decarbonisation, offshore wind development and blue infrastructure along the Lagos-Calabar coastal corridor — will depend on whether Abuja can present bankable project pipelines backed by credible regulatory frameworks, rather than broad thematic declarations.
NIMASA’s ongoing efforts to modernise Nigeria’s maritime regulatory environment and the NPA’s port expansion programme are relevant foundations, but without coordinated blue economy legislation and dedicated funding mechanisms, Nigeria risks being a spectator at forums that are reshaping the global maritime investment landscape.
The question Mombasa should sharpen for Nigerian policymakers is straightforward: will the country leave with commitments, or with capital?
Waterways News — Covering Nigeria’s Maritime and Blue Economy Sector
How Liberia Turn Its Flag into a Maritime Goldmine — But the Profits Keep Sailing Away
The world’s largest ship registry sits in a West African nation with a $670 per capita income. The ships are everywhere. The money, largely, is not.
By Oghenewoke Osaweren | Waterways News
In the high-pressure world of global shipping, few decisions carry as much financial weight as where a vessel is registered. And right now, more shipowners are making that decision in favour of Liberia than any other country on earth.
As of June 2026, the Liberia-flagged fleet stood at 307.3 million gross tonnage — making the Liberian International Ship and Corporate Registry (LISCR) the first registry in history to cross the 300 million GT threshold. It is the third consecutive year Liberia has held the title of the world’s largest shipping registry, widening its lead over its nearest rival by nearly 45 million gross tons.
The numbers are staggering. The Liberian Ship Registry now accounts for 17 percent of the global fleet, with 6,092 vessels flying its flag, and it represents 28 percent of global newbuilding gross tonnage — meaning more than one in four new ships entering the global fleet now does so under the Liberian colours.
But what pulls the world’s shipowners to a flag planted in one of West Africa’s most impoverished nations? And, critically, what is Liberia itself getting out of the arrangement?
THE MAGNET: WHAT SHIPOWNERS ARE REALLY BUYING
Established in 1948, the Liberian Registry has built its reputation on maritime safety, environmental standards, and administrative efficiency. Yet the hard commercial draw has always been simpler than that: cost reduction on a massive scale.
Shipowners choose Liberia’s open registry for lower taxes and reduced registration fees that can significantly slash operational costs, alongside the freedom to hire multinational crews at competitive wages — bypassing the higher labour costs imposed by national registries in Europe, Asia, or the Americas.
There are no crew nationality restrictions on Liberian vessels, and taxes are assessed at conservative rates based on net tonnage. For owners managing fleets of dozens of vessels, the cumulative savings run into tens of millions of dollars annually.
The registry is administered from Vienna, Virginia, with offices in New York, Hamburg, Hong Kong, London, Piraeus, Tokyo, Zurich, Singapore, and Monrovia, providing clients with 24-hour service. The bureaucratic friction that delays other registries simply does not exist here — a Liberian ship-owning corporation can typically be formed on the same working day instructions are received.
THE CHINA CARD
Beyond the traditional cost advantages, a newer and increasingly consequential incentive has emerged. Under a renewed maritime agreement with the People’s Republic of China, Liberian-flag vessels now enjoy preferential tonnage dues rates at Chinese ports, alongside expedited customs procedures and simplified port formalities — advantages that competing flags such as the Marshall Islands do not enjoy.
In a global shipping economy where China handles a dominant share of cargo, this diplomatic edge is no small commercial consideration.
LIBERIA’S GAIN — ON PAPER
Proponents of the arrangement argue that Liberia benefits meaningfully from the registry’s prestige and revenue. The Liberia Maritime Authority has described holding the world’s largest registry title as both an honour and a responsibility, with Commissioner Neto Zarzar Lighe Sr. pledging commitment to innovation and best practices expected of a Category ‘A’ member of the International Maritime Organisation’s Council.
The registry is reported to generate approximately 25 percent of Liberia’s national income — a figure that, if accurate, would represent a remarkable dependency on a single offshore arrangement. Liberian-flagged vessels also carry more than one-third of the oil imported into the United States, giving Liberia an invisible but powerful role in American energy supply chains.
THE UNCOMFORTABLE ARITHMETIC
But the glowing statistics mask a deeply troubling reality.
According to the Liberia Revenue Authority’s own records, the country received just US$12 million in maritime revenue in the 2019-2020 tax year from LISCR — amounting to only 2.75 percent of its total domestic revenue. More recent estimates place Liberia’s annual take from the registry at approximately $20 million.
Against a backdrop where Liberia’s total GDP stood at $4.75 billion in 2024, with a per capita income of just $670, the question becomes stark: who is really benefiting from the world’s most powerful shipping flag?
When over 130 countries representing 90 percent of global GDP came together in 2021 to agree a historic minimum corporate tax rate of 15 percent for multinationals, shipping alone was excluded — an arrangement that continues to shield the registry’s clients from the kind of global tax reform that would otherwise erode their savings.
The structural explanation is revealing. LISCR is a purpose-made limited liability company registered in Delaware and based in Virginia, with US nationals as exclusive investors under Liberian law — meaning the entity that manages the world’s largest shipping registry is legally and operationally American, not Liberian.
Even the United States Ambassador to Liberia has publicly acknowledged the gap, stating that “the revenue, jobs, and expertise generated by LISCR have the potential to benefit Liberia’s economy in nearly every sector” — while urging that maritime revenues be transparently incorporated into the national budget. The diplomatic phrasing barely conceals the implicit admission: the potential is there, but the delivery has fallen short.
A FLAG THAT FLIES EVERYWHERE, PROFITS THAT LAND NOWHERE NEAR MONROVIA
Liberian investigative voices have grown increasingly vocal, with local media questioning whether registry revenues are ending up in the pockets of a privileged few, including top officials and their political lawyers, rather than flowing into public coffers.
The ITF has long argued that the FOC system lets foreign shipowners use the Liberian flag to benefit from lax regulations and lower operating expenses, resulting in labour exploitation with little meaningful economic benefit returning to Liberia itself.
The paradox is stark enough to have earned a name in academic and policy circles. The downward drag that tax havens brought to government revenues worldwide was once commonly referred to as the “Liberian Problem.”
THE BIGGER PICTURE FOR AFRICA
For maritime-watchers across West Africa — and in Nigeria, where the inland waterways sector continues to seek investment and regulatory frameworks that actually serve national interests — the Liberian registry story carries a cautionary resonance.
A nation can sit at the centre of global maritime commerce, command the allegiance of 6,000 vessels flying its flag across every ocean, carry a third of America’s oil imports, and still struggle to translate that extraordinary leverage into domestic development. The ships sail. The registry grows. The flag waves on every sea.
The revenue, largely, waves goodbye with them.
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