As of September 2026, SMFCL had sanctioned financing worth ₹115.63 billion and disbursed ₹51.07 billion across maritime projects, with more than half the sanctioned amount yet to be drawn as projects advance.
India’s first dedicated maritime-sector non-banking financial company (NBFC), Sagarmala Finance Corp. Ltd (SMFCL), is targeting cumulative disbursals of ₹602.05 billion by FY2031, as it expands financing support for ports, shipbuilding, coastal infrastructure and logistics projects.
Union Minister for Ports, Shipping & Waterways Sarbananda Sonowal announced the target while inaugurating SMFCL’s corporate office at the Institute for Studies in Industrial Development in New Delhi on Friday. Describing SMFCL as a key enabler of maritime growth, Sonowal said, “SMFCL is playing a pivotal role in mobilising long-term finance for port-led development, enhancing shipbuilding and coastal connectivity and catalysing the overall growth of our maritime economy.”
As of September 2026, the corporation had sanctioned financing worth ₹115.63 billion and disbursed ₹51.07 billion, with more than half the sanctioned amount yet to be drawn as projects progress.
The minister’s announcement comes as the Central Government builds a broader maritime financing architecture through the Maritime Development Fund (MDF), a ₹250 billion initiative designed to improve long-term capital access across the maritime sector. The MDF operates separately from SMFCL, although the maritime NBFC plays an implementation and facilitation role for parts of the programme.
The MDF comprises two components: the Maritime Investment Fund (MIF) and the Interest Incentivisation Fund (IIF). Under the MIF, SBI Ventures Ltd has been appointed fund manager. The stock market regulator, the Securities and Exchange Board of India (SEBI), is expected to approve MIF’s registration as an alternative investment fund (AIF) by the end of November, with the first close of ₹50 billion targeted by January 2027.
The IIF, the second component of MDF, is already operational. Its online portal is live, loans worth ₹45 billion have been supported so far, and about ₹250 million has been released as interest subvention to eligible borrowers.
Financing the Ecosystem
SMFCL’s role extends beyond direct lending and includes supporting the implementation of several maritime financing initiatives. The Central Government’s contribution to MIF, amounting to up to ₹98 billion, is being channelled through SMFCL, while SBI Ventures provides professional fund management for the investment vehicle.
The IIF is designed to reduce borrowing costs for eligible shipyards and maritime projects. Under the programme, SMFCL administers the application and claims process, calculates eligible incentives and disburses interest support.
The corporation also supports implementation of the broader shipbuilding financing initiatives. Under the Shipbuilding Development Scheme, the credit-risk cover framework is intended to provide shipyards and lenders with greater financial security against payment risks.
“India is building a stronger, more self-reliant and globally competitive maritime sector,” Sonowal added.
Apart from administering financing schemes, SMFCL appraises, sanctions and monitors projects across ports, port connectivity, rail and road links, inland waterways, coastal infrastructure, port-led logistics, shipbuilding and ship repair. The maritime NBFC also oversees the release and utilisation of funds under the Sagarmala programme and the National Maritime Heritage Complex (NMHC), helping ensure project financing is tracked through implementation.