Ship owners make case for establishment of Maritime Bank

The President of the association, Capt. Niyi Labinjo, made the call in an interview in Lagos on Tuesday.

Ships dock at the main port in Kenyan coastal city of Mombasa, February 25, 2013.  REUTERS/Joseph Okanga

he Nigeria Ship Owners Association (NISA) has called for the establishment of a Maritime Bank to help develop the shipping business in the country.

The President of the association, Capt. Niyi Labinjo, made the call in an interview with the News Agency of Nigeria (NAN) in Lagos on Tuesday.

He said that the call became necessary because commercial banks did not have an understanding of maritime issues.

He said that the Federal Government could set up the specialised bank and use the Cargo Vessel Financing Fund (CVFF) as seed money.

"Let us establish a maritime bank. We cannot work with commercial banks.

"Shipping is never done like that. If you want to do Cabotage, you must use maritime bank for Cabotage.

"The reason is, the moment you hike the cost of accessing funds, it will become difficult.

"You have Bank of Industry for manufacturers; Bank of Agriculture for farmers. You even have Bank of Infrastructure.

"You have mortgage bank for housing. What does it cost to have maritime bank.

"Use the CVFF (Cargo Vessel Financing Fund) collection; use it as the seed money.

"In that wise, we shall be dealing with a bank that will be using maritime template.

"The commercial banks will never understand why a ship cannot disappear from the surface of the water.

"So we need a maritime bank that has an understanding of maritime issues."

The mariner said it was unfortunate that shippers were not benefiting from the cargo vessel financing fund as well as the maintenance fund.

He, therefore, urged the government to create an atmosphere that would enable indigenous ship owners to benefit from the funds.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.

Eyewitness? Submit your stories now via social or:

Email: eyewitness@pulse.ng

Recommended articles

Bandits open fire on President Buhari's convoy in Katsina

Bandits open fire on President Buhari's convoy in Katsina

Farah Dagogo: I have forgiven all transgressions, moved on

Farah Dagogo: I have forgiven all transgressions, moved on

Shina Peller secures Accord Party ticket for Oyo North senatorial district

Shina Peller secures Accord Party ticket for Oyo North senatorial district

Kwankwaso’s comment misconstrued, he did not insult south-east - NNPP

Kwankwaso’s comment misconstrued, he did not insult south-east - NNPP

2023: Why the Obidient movement is a useless one – Asari Dokubo

2023: Why the Obidient movement is a useless one – Asari Dokubo

Terrorists did not enter church in Onitsha, Anambra – Police

Terrorists did not enter church in Onitsha, Anambra – Police

Mixed reactions as Femi Otedola endorses Tinubu

Mixed reactions as Femi Otedola endorses Tinubu

V-C urges FG to take steps to end ASUU strike

V-C urges FG to take steps to end ASUU strike

NYSC D-G warns youth corps members against local politics

NYSC D-G warns youth corps members against local politics