DGS mulls setting up a maritime fund for SMEs

Mumbai: The Directorate General of Shipping (DGS) is mulling to set up a dedicated 'maritime fund' to enable the small and mid-size entrepreneurs in the sector to access domestic and foreign funds at cheaper rates.

"We have received a proposal for maritime fund from the Exim Bank and we are studying the intricacies involved in it. We would soon send this proposal to the shipping ministry for its consideration," director general of shipping Amitabh Kumar said.

The purpose of proposed fund is aimed at raising the long-term funds in domestic and international markets and create an equity corpus, which can be leveraged and in lending to these players at competitive rates, Kumar said.

Along with this, the DGS is also seeking allowance of up to 49 percent investment by foreign investors including non-resident Indians in Indian flag ships. At present, only Indians or firms registered under Indian law can register their ships.