Again, Customs raises FX rate for import duties to N1, 373/$

For the umpteenth time, the Nigeria Customs Service (NCS) has adjusted the foreign exchange rate for import duties to N1,373.64 per dollar.

This represents a 19.4 percent increase compared to N1, 150.1/$ announced by the service on April 24.

The new rate adopted by customs was observed on Wednesday.

Despite the increase, the NCS rate fell below the official foreign exchange rate which closed at N1,390/$ on April 30.

Customs typically adopt FX rates recommended by the Central Bank of Nigeria (CBN) for import duties based on trading activities in the official forex market.

The apex bank on February 23 directed Customs and other related parties to adopt the closing rate in the official window for import duty.

The CBN said the FX rate at the point of importation should be used for import duty assessment until the termination date and clearance are finalised.

Various stakeholders have called for a fixed rate for import duty calculation.

The Managing Director of the Centre for the Promotion of Private Enterprise, Muda Yusuf, encouraged fiscal authorities to stabilise rates to give policy support to critical sectors of the economy.

On his part, a freight forwarder, Eugene Nweke, called for a fixed exchange rate for cargo clearing at the port to give relief to businesses, support trading activities, and stabilise products’ market value.

By: Babajide Okeowo

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