CVFF FUNDS RETAINED IN CURRENCY OF REMITTANCE, NO CONVERSION – MOBEREOLA
The attention of the Management of the Nigerian Maritime Administration and Safety Agency (NIMASA) has been drawn to reports circulating in some sections of the media alleging that the Cabotage Vessel Financing Fund (CVFF) has been converted to naira and is no longer being held in United States dollars.
The reports attributed this claim to a former Director-General of NIMASA, Mr Omatseye, who reportedly alleged that the conversion was undertaken to enable the Fund to earn higher interest rates.
For the avoidance of doubt, this claim is incorrect and does not reflect the actual status of the CVFF.
The revenue streams accruing to the CVFF are denominated in different currencies. Accordingly, funds remitted in United States dollars are retained in dollars with the Central Bank of Nigeria (CBN), while contributions remitted in naira are retained in the local currency. There has been no conversion of the dollar-denominated component of the CVFF to naira, contrary to the allegation.
Meanwhile, the Honourable Minister of Marine and Blue Economy, His Excellency, Adegboyega Oyetola, CON, is working assiduously towards ensuring the imminent disbursement of the Fund to qualified beneficiaries.
The Agency has received applications from eligible beneficiaries, some of whom are currently undergoing the required documentation processes with their preferred Primary Lending Institutions (PLIs). NIMASA remains optimistic that the disbursement process will commence shortly.
The Honourable Minister’s commitment to ensuring the disbursement of the CVFF is consistent with the Renewed Hope Agenda of President Bola Ahmed Tinubu, which seeks to strengthen indigenous capacity, empower local operators and enhance the competitiveness of Nigeria’s maritime industry.
In view of the foregoing, maritime stakeholders, industry operators and members of the public are advised to disregard the misleading reports suggesting that the CVFF has been converted from dollars to naira.