NBFC supports dredging-indigenous shipbuilding capabilities
Sagarmala Finance Corporation Limited (SMFCL), India’s first maritime focused Non-Banking Financial Company (NBFC), has started lending to the maritime sector, having approved loan sanctions of about Rs.4,300 crore at its 51st Board Meeting held on 30 Dec 2025 https://sagarmala.gov.in/.
The move follows an aggressive market roadmap cleared at SMFCL’s Annual General Meeting (AGM), where the Board approved an overall borrowing limit of Rs.25,000 crore and a lending target of Rs.8,000 crore for the current financial year.
With the latest sanctions scheduled for disbursement within the ongoing fiscal year, SMFCL said it is targeting a loan book of Rs.8,000 crore in FY 2025-26, reinforcing its ambition to emerge as a dedicated and credible financier for the maritime sector.
An amount of about Rs.4,000 crore has been earmarked for a Greenfield Port Project, reinforcing the Centre’s push for port-led development. In addition, Dredging Corporation of India (DCI) secured Rs.150 crore, while Goa Shipyard received Rs.110 crore from the same tranche, supporting dredging capacity and indigenous shipbuilding capabilities https://www.bseindia.com/.
SMFCL was inaugurated on 26 June 2025, as India’s first NBFC exclusively focused on maritime financing by Minister of Ports, Shipping and Waterways (MoPSW) Sarbananda Sonowal.
The institution was created to bridge long-standing financing gaps and deliver sector-specific financial solutions to ports, MSMEs, startups and institutions, in alignment with the ‘Amrit Kaal Vision 2047’ and the country’s broader blue economy goals.
Commenting on the commencement of lending operations, Minister Sonowal said, “SMFCL’s entry into lending marks an important step in strengthening maritime infrastructure and enterprise financing. With strengthened maritime sector, we are cruising smoothly towards our goal of Viksit Bharat.”
The company said ratings from major credit rating agencies are expected shortly, a development that is likely to further optimise borrowing costs and support the scaling up of lending operations. SMFCL’s expansion strategy is backed by strong institutional support from the Ministry of Ports, Shipping and Waterways, which has designated the corporation as the nodal agency for the establishment and operational coordination of the Maritime Development Fund (MDF) with a total corpus of Rs.25,000 crore https://www.nseindia.com/.
The MDF includes the Maritime Investment Fund with a corpus of Rs.20,000 crore and the Interest Incentivisation Fund with a corpus of Rs.5,000 crore. Under the approved framework, SMFCL will hold and manage the Government of India’s contribution to the Alternative Investment Fund established for the Maritime Investment Fund in a fiduciary capacity. In addition, SMFCL will act as the nodal agency to channelise the Interest Incentivisation Fund, significantly expanding its scope of funding support across maritime segments.
SMFCL said the forthcoming notification of guidelines for the Shipbuilding Financial Assistance Scheme, with an outlay of Rs.44,700 crore, is expected to open new avenues for investment and collaboration, particularly in shipbuilding and allied industries, further strengthening the domestic maritime manufacturing ecosystem.
The corporation will offer tailored financial products to eligible government and private sector entities operating across the entire maritime value chain. Its offerings will include short-, medium- and long-term loans, solutions to address cash-flow mismatches, balance-sheet financing, and non-fund-based products designed to meet the specific needs of maritime projects and enterprises.
With lending operations now underway, SMFCL said it is positioned to play a catalytic role in accelerating maritime infrastructure development, supporting indigenous shipbuilding, and deepening access to institutional finance for India’s rapidly expanding blue economy, in line with national development priorities, said SMFCL. Fiinews.com
