CBN Increases Customs Dollar Exchange Rate To Clear Goods at Ports As Naira Depreciates Again
- The CBN has increased the exchange rate used for calculating customs duties for importers to clear goods at the nation's ports
- The new exchange rate reflects the performance of the naira in the official foreign exchange markets
- With the new rate, the cost of imported goods such as phones, cars, food items, among others, is expected to remain high
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Central Bank of Nigeria (CBN) has again adjusted the dollar exchange rate to clear goods at the nation's ports.
According to data from the federal government trading portal, Nigerian importers will be charged N1,601.84 per dollar for customs import duty.
Source: Twitter
The new rate represents a 0.15% increase from the previous rate of N1,599.39 per dollar on Friday, July 26, 2024
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What is Customs duty?
Customs duties are taxes and levies paid on goods imported into the country.
The duties are paid through a commercial bank to the Nigeria Customs Service, which collects them on behalf of the federal government.
According to the apex bank's policy, Customs should use the rate when submitting Form M to calculate duties.
The latest adjustment indicates that importers who opened Form M on Monday, July 29, 2024, paid N1,601.84 as import duties, compared to those who opened Form M on Friday, July 26, 2024.
Form M is a mandatory online documentation process for importing physical goods into Nigeria.
Customs rate vs official exchange rate
The current Customs rate is almost at par with the Nigerian currency against the US dollar.
On Monday, July 29, 2024, data from FMDQ Securities showed that the naira exchanged at N1,611.40 to the dollar in the official market, also known as the Nigerian Autonomous Foreign Exchange Market (NAFEM).
Nigeria Customs grounds bank's aircraft
In related news, Legit.ng reported that the NCS had grounded a private jet belonging to a prominent Nigerian bank.
The move signalled the commencement of a clampdown on private jet owners in Nigeria who may have imported them without paying import duties.
It was reported that the private jet owners owe about N1.9 billion in import duties.
Proofreading by James, Ojo Adakole, journalist and copy editor at Legit.ng.
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Source: Legit.ng
