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FG targets insurance firms, others to fund national shipping fleet

By Favour Nnabugwu

THE Federal Government is targeting  banks and insurance companies to finance the national shipping carrier, following the withdrawal of a Singaporean liner, Pacific International Lines (PIL), from the initiative.

File: insurance

The Singaporean shipping company, with over a hundred ships in its fleet world-wide, had said that it would not be able to cope with the shipping policies in the country as government was reluctant to amend the loopholes in the Maritime Act.

However, the Executive Secretary of the Nigerian Shippers’ Council (NSC), Hassan Bello, said that new options will be explored by government to involve the banks, insurance companies, the flag administration and nautical colleges to establish a befitting national fleet flying Nigerian flag.

Speaking at a press briefing in Abuja, Bello said that the country will change from its current terms of trade, Free on Board (FoB) to Cost, Insurance and Freight (CIF).

Bello stated: “We have to involve the banks, insurance, the flag administration, nautical colleges, policies as well as laws that can make the country change from Free on Board (FoB) to Cost, Insurance and Freight (CIF) and others.”

Bello explained that despite the withdrawal of PIL, there were still many options opened to bidders. He noted that the ministerial fleet implementation committee constituted by the Minister of Transportation, Mr. Rotimi Amaechi, will ensure the refloating of the Nigerian National Shipping Line to meet its mandate.


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