Sagarmala Finance Corporation Begins Lending Operations

Sagarmala Finance Corporation Limited (SMFCL), India’s first Non-Banking Financial Company (NBFC) exclusively dedicated to the maritime sector, has formally commenced its lending operations, marking a major milestone in strengthening India’s maritime finance ecosystem.

₹4,300 Crore Loan Sanctions Approved

At its 51st Board Meeting held on December 30, 2025, SMFCL approved loan sanctions worth approximately ₹4,300 crore, signalling its entry into large-scale maritime lending in line with the strategic roadmap approved by its Board.

Major Push for Port-Led Development

Out of the sanctioned amount, nearly ₹4,000 crore has been earmarked for a Greenfield Port Project, reinforcing the Centre’s emphasis on port-led development and logistics-led economic growth.

Support to Strategic Maritime Institutions

• Dredging Corporation of India (DCI) received ₹150 crore, aimed at strengthening dredging capacity.
• Goa Shipyard Limited was sanctioned ₹110 crore, supporting indigenous shipbuilding and defence manufacturing capabilities.

Background and Mandate of SMFCL

SMFCL was inaugurated on June 26, 2025, by Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal. It was established to bridge long-standing financing gaps in the maritime sector and provide tailored financial solutions to ports, MSMEs, startups and maritime institutions.

Nodal Agency for Maritime Development Fund

SMFCL has been designated as the nodal agency for the Maritime Development Fund (MDF), which has a total corpus of ₹25,000 crore, comprising:

• Maritime Investment Fund: ₹20,000 crore
• Interest Incentivisation Fund: ₹5,000 crore

Expanded Role in Maritime Financing

Under the approved framework:

• SMFCL will manage the Government of India’s contribution to the Maritime Investment Fund through an Alternative Investment Fund in a fiduciary capacity.
• It will also channelise the Interest Incentivisation Fund, significantly expanding funding support across key maritime segments.