Thirteen loans have been awarded under the government’s loan scheme for the installation of Refrigerated Sea Water (RSW) systems on fishing boats. The loan certificates were formally handed over to the beneficiaries by President Dr. Mohamed Muizzu during a special ceremony held at the President’s Office on Thursday.
The loan scheme, launched by the Ministry of Fisheries and Ocean Resources in collaboration with the SME Development Finance Corporation (SDFC), was reopened in September with several new enhancements aimed at increasing accessibility and support for fishermen. As such, the Minister of Fisheries and Ocean Resources, Ahmed Shiyam, emphasized that the government would cover 35% of the total loan amount for qualifying applicants. For instance, if a boat owner applies for a loan of USD 64,941, the government will contribute USD 22,729 towards the cost of the RSW system installation.
The government has allocated a total of USD 9.6 million for the initiative, with loan amounts ranging from USD 6,494 to USD 129,882. These loans are provided without the need for mortgage guarantees. In addition, the scheme now includes the option to purchase solar systems and generators for the boats, with a repayment term of 10 years and a 6-month grace period.
The scheme has been met with positive response from boat owners, with 31 applications already submitted, and 21 of these are currently under processing. The government has stated that this initiative will alleviate challenges faced by fishermen in accessing ice, thus improving the efficiency of their operations. The RSW systems have already been installed on many boats in the southern regions, and the government aims to extend this installation to all fishing boats nationwide.