Loan defaulters risk losing fishing boats, warns Zanzibar official

ZANZIBAR: ZANZIBAR authorities will repossess fishing boats from loan defaulters who fail to clear their debts under government empowerment schemes, a senior regional official has warned.

Speaking during a strategy meeting with implementing agencies—including the Zanzibar Fisheries Corporation (ZAFICO)—Urban West Regional Administrative Secretary Ali Maulid urged beneficiaries to settle their debts immediately or face immediate asset seizure.

He stressed that loan repayment is not optional but a legal and moral obligation, describing it as a cornerstone for ensuring that more citizens benefit from government empowerment initiatives.

“Prompt repayment of these loans is essential to replenish the revolving fund and enable more entrepreneurs to access capital to expand their fishing activities,” he said.

Mr Maulid noted that the government has invested heavily in the fisheries sector to create employment, improve household incomes and stimulate economic growth through the Blue Economy agenda.

However, he expressed concern over the growing number of beneficiaries failing to honour their repayment obligations, warning that such practices threaten the sustainability of the programme.

“Beneficiaries must understand that these boats were provided through loan arrangements, not as grants. The recovered funds are meant to finance similar opportunities for other citizens,” he said.

He warned that the government would not hesitate to repossess boats from defaulters until outstanding loans are settled in accordance with agreed terms.

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“Financial discipline and accountability are vital for the success of development programmes and the growth of our economy,” he added.

Mr Maulid also urged beneficiaries to change the perception that government support is unconditional assistance.

“We cannot allow a situation where people acquire government assets and fail to fulfil their obligations. Public resources must be protected and every beneficiary held accountable,” he said.

Meanwhile, ZAFICO representative Mr Ibrahim Salum said assessments show that many entrepreneur groups are still using the boats despite failing to complete loan repayments.

He said the government distributed 126 fishing boats across the Urban West Region to strengthen fishing activities and boost marine production.

The allocation included 17 boats in Urban District, 23 in West ‘A’ District and 17 in West ‘B’ District, with the remaining vessels distributed to other areas within the region.

Despite the programme’s achievements, Mr Salum said loan recovery remains a major challenge.

“In West ‘A’ District, six of the 23 boats issued have not been repaid. In West ‘B’, five boats remain unpaid, while in Urban District five groups have yet to clear their debts,” he said.