SMFCL, India's First Maritime NBFC, Disburses Rs 5,107 Crore

Union Minister of Ports, Shipping and Waterways Sarbananda Sonowal inaugurated the corporate office of Sagarmala Finance Corporation Limited (SMFCL) at the Institute for Studies in Industrial Development (ISID) in New Delhi, giving a permanent address to what he called India's first dedicated Non Banking Financial Company (NBFC) in the maritime sector.

What the books show

As on 30 September 2026, SMFCL had sanctioned Rs 11,563 crore of financing and disbursed Rs 5,107 crore. More than half of the sanctioned amount is still to be drawn, and it will be drawn as the projects behind the sanctions move ahead. The corporation is aiming at cumulative disbursements of Rs 60,205 crore by the end of FY2031, a build-up that rests on equity support so that it can scale in line with Reserve Bank norms and its own debt-to-equity ratio.

The Maritime Development Fund

The Maritime Development Fund (MDF) has two components and is also taking shape. For its Maritime Investment Fund component, SBI Ventures Limited has been appointed the official Fund Manager. Registration as an Alternative Investment Fund with the Securities and Exchange Board of India is due to be completed by the end of November, and a first close of Rs 5,000 crore is targeted by January 2027. The contribution of the Government of India to the Maritime Investment Fund, of up to Rs 9,800 crore, is channelled through SMFCL.

Interest support already flowing

The second component, the Interest Incentivisation Fund (IIF), is already delivering. Its online portal is live, loans worth Rs 4,500 crore have been supported so far, and about Rs 25 crore of interest subvention has been released against the interest paid by borrowers. The fund brings down what an eligible shipyard pays to borrow. SMFCL calculates how much incentive is due, operates the portal on which applications and claims are filed, and then releases the money that covers the interest.

What SMFCL does

Its lending arm appraises a project, sanctions the loan and then keeps watch over how the money is used. The field it covers begins at the ports themselves and extends to the rail and road links that feed them, to inland waterways, to coastal infrastructure, to the logistics of the port hinterland and to the building and repair of ships. Under the Shipbuilding Development Scheme, a corpus for credit risk cover is held and managed centrally, with premiums and claims reviewed, so that a shipyard and the bank lending to it both have cover if a payment fails. SMFCL also oversees the release and the use of Sagarmala funds and of funds for the National Maritime Heritage Complex, so that money reaches projects and is tracked until it is spent. Shri Sonowal said the company has a vital role in propelling maritime growth towards the Prime Minister's vision of India becoming a leading maritime nation by 2047, under the Maritime Amrit Kaal Vision 2047.