Business
Committee Identifies Obstacles To Ports’ Efficiency
The absence of an economic regulator to effectively supervise the concession regime and the non-passage of the relevant laws to further encourage private sector investment in the maritime sector have been identified as the key obstacles to effective and efficient operations of the nation’s ports.
The observation was made by the Port Reform Evaluation Committee (PREC) in its report submitted to the Minister of Transport, Yusuf Suleiman.
The Chairman of the Committee, Barrister Chidi Ilogu, in his address made available to The Tide in Port Harcourt, also identified other obstacles such as poor accessibility to and within the ports, with indiscriminate parking of trucks and uncontrolled human and vehicular traffic.
According to him, “the cost of doing business in Nigerian ports has continued to increase due to the persistence of accessibility challenges and the attendant/associated poor turnaround time and high demurrage.
“Overall, the present state of the terminals, particularly, the development and modernisation of physical infrastructure, facilities, equipment water front security and safety and human capital development are a far cry from what is needed to improve the ports attractiveness as preferred destinations. This has compromised the nation’s aspirations of being a regional Maritime hub”, Ilogu noted.
The Committee also established that the absence of an economic regulator has precluded effective regulation of the concessionaires, stressing that several operators lack the requisite indigenous technical/professional manpower and have failed to substantially comply with the Terms of Agreement.
It also said that about six of the concessionaires have made no appreciable development to their terminals, saying that the Nigerian Ports Authority (NPA) as a technical regulator performed unsatisfactorily, as it demonstrated not only limited capacity but also poor corporate governance culture as the organization failed to keep its side of the Agreement, particularly as it affects dredging of water channels to their advertised draughts, provision and adequate maintenance of Port access and common user roads.
The Committee is of the opinion that if faithfully implemented its recommendations will contribute tremendously in harnessing the abundant potentials of the marine sub-sector for the benefit of the Nigerian economy and welfare of Nigerian.
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
-
News13 hours agoRSG Reiterates Commitment To Youth Dev
-
Rivers11 hours agoPolice Launch Community-Centred National Day Celebration In Rivers, Today
-
Business11 hours agoNSCDC Discloses Illegal Dump Site In Ikwerre Community
-
Business11 hours agoYenagoa’s Radisson Hotel Ready December — NCDMB, Other
-
Oil & Energy11 hours agoTranscorp Energy, Renewvia Partner On Renewable Energy Gap
-
Maritime11 hours agoMWUN Raises Alarm Over Port Security Lapses In Lagos
-
Maritime11 hours agoNNS Hands Over Two Suspected Stowaways to Immigration Service
-
Maritime11 hours agoNigerian Navy Plans CMTF To Safeguard GOG