Covenant Loan Covenants are restrictions that a lenders put on borrowers to limit actions af borrowers. Typical covenants of a ship financing agreement would be minimum value clauses (Loan To Value) and minimum cash balance required. Post navigationPrevious post: Ship MortgageNext post: LIBOR Leave a Reply Cancel replyYou must be logged in to post a comment. This site uses Akismet to reduce spam. Learn how your comment data is processed.