India's First Maritime NBFC SMFCL Progress Update
Union Minister of Ports, Shipping & Waterways Sarbananda Sonowal inaugurated the corporate office of Sagarmala Finance Corporation Limited (SMFCL) in New Delhi, establishing a permanent home for India's first dedicated Non-Banking Financial Company (NBFC) in the maritime sector. As of September 30, 2026, SMFCL has sanctioned ₹11,563 crore in financing and disbursed ₹5,107 crore, with more than half of the sanctioned amount still to be drawn down as projects progress.
The corporation has set an ambitious target of reaching cumulative disbursements of ₹60,205 crore by the end of FY2031, which requires equity support to scale operations in line with RBI norms and maintain appropriate debt-to-equity ratios. Minister Sonowal emphasized SMFCL's pivotal role in mobilizing long-term finance for port-led development, enhancing shipbuilding and coastal connectivity, and catalyzing growth toward Prime Minister Narendra Modi's Maritime Amrit Kaal Vision 2047, which aims to make India a leading maritime nation by 2047.
Maritime Development Fund Progress
The Maritime Development Fund (MDF), which consists of two components, is advancing significantly. SBI Ventures Limited has been appointed as the official Fund Manager for the MIF component. Registration as an Alternative Investment Fund with SEBI is expected to be completed by the end of November 2026, with the first close of ₹5,000 crore targeted for January 2027.
The Interest Incentivisation Fund (IIF) component is already operational, with its online portal (www.iifmdf.in) live and processing applications. So far, loans totaling ₹4,500 crore have been supported through this fund, with approximately ₹25 crore in interest subvention released to borrowers against interest payments made.
Comprehensive Maritime Financing Ecosystem
SMFCL manages a complete suite of financing solutions covering maritime projects from conception to completion. The Government of India's contribution of up to ₹9,800 crore to the Maritime Investment Fund is channeled through SMFCL. The corporation's lending activities include appraisal, sanction, and monitoring of projects across ports, rail and road links, inland waterways, coastal infrastructure, port-hinterland logistics, shipbuilding, and ship repair.
Additionally, SMFCL oversees the release and utilization of Sagarmala and National Maritime Heritage Complex (NMHC) funds, ensuring proper tracking of expenditures until project completion. The Shipbuilding Development Scheme includes a credit risk cover corpus managed centrally with premium and claims review processes, providing shipyards and lenders with a safety net against payment risks.