Shipowners Blame Regulatory Bottlenecks, High Financing Costs for Stifling Maritime Growth

The Nigeria Shipowners Association (NISA) has warned that regulatory bottlenecks and limited access to affordable financing are constraining the growth of the country’s indigenous shipping industry.

NISA President Sola Adewunmi said this while speaking at an event in Lagos over the weekend. He noted that Nigerian shipowners have the capacity, expertise and ambition to contribute significantly to the maritime economy, but persistent regulatory challenges, high financing costs and perceived investment risks continue to limit their ability to compete in regional and international shipping markets.

“Access to affordable, long-term financing remains a major obstacle to the growth of indigenous shipping in Nigeria,” Adewunmi said. “Our shipowners have the capacity, expertise and ambition to contribute meaningfully to the nation’s maritime economy, but high financing costs, perceived investment risks and regulatory bottlenecks continue to limit our competitiveness.”

He called for a predictable and transparent regulatory framework, innovative financing mechanisms and effective risk-sharing arrangements to address the structural constraints facing local shipowners.

Adewunmi emphasised that stronger collaboration among government agencies, financial institutions, development partners and industry operators was essential to unlocking the potential of indigenous shipping.

He said a stronger indigenous fleet was critical to retaining more maritime revenue within Nigeria, creating jobs, building local capacity and strengthening the country’s participation in regional and international trade.

According to him, without deliberate measures to address the challenges, indigenous operators would continue to struggle to expand their fleets, acquire modern vessels and compete with foreign shipping companies that have greater access to capital.

Adewunmi urged regulators and policymakers to ensure that their policies support the growth and sustainability of local shipping businesses rather than impose constraints that weaken their competitiveness.

He reiterated NISA’s commitment to constructive engagement with regulators, policymakers and financial institutions to promote policies that would make Nigerian shipowners more bankable, competitive and sustainable.

He also commended the organisers of the event for providing a platform for stakeholders to discuss the challenges facing the sector, noting that the media had an important role in informing the public, highlighting industry concerns and promoting workable solutions.

Adewunmi urged participants to ensure that their deliberations translated into concrete actions capable of improving the operating environment for indigenous shipping companies.