Again, CBN Reduces Customs Exchange Rate To Clear Goods at Ports

• The Central Bank of Nigeria has set a new exchange rate to clear goods from ports and also airports
• The new exchange rate reflects the performance of the Nigerian currency in the official FX markets
• Importers will be hoping for further reduction in the coming weeks as the naira continues to improve

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 decided to reduce the exchange rate used by importers clearing goods at the ports.

According to data from Nigeria's trade portal, importers will now pay N1,613.19 per dollar from Thursday, December 5, 2024.

The latest rate represents a N50.2 or 3.01% increase compared to the N1,663.39/$ exchange rate quoted previously as of December 2, 2024.

Customs duty, also known as import duty, is a tax imposed on goods brought into the country.

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These duties are paid via commercial banks to the Nigeria Customs Service, which collects them on behalf of the federal government.

Why was the customs exchange rate reduced?

The latest customs exchange rate marks the second successful reduction in recent days, thanks to the performance of the naira.

The customs exchange rate is based on the closing rate of the naira against the dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEM).

Earlier, Legit.ng reported that the Nigerian currency appreciated to N1,613.69/$1 on Wednesday, December 4.

This appreciation follows the introduction of the Electronic Foreign Exchange Matching System (EFEMS) by the CBN, which sets new guidelines for authorized foreign exchange (FX) dealers and continues to boost the operational efficiency and transparency of the nation’s currency market.

The new EFEMS appears to work, as the naira has gained significantly since its introduction in the official and black markets.

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CBN crashes dollars to clear goods at Nigerian ports as naira improves in all markets

Expert predicts new rates for naira in January 2025

Legit.ng reported that renowned economist Bismarck Rewane predicted that the naira would strengthen further in January 2025 relative to its current rate.

Rewane explained that there is no economic basis for the naira to trade at less than 30% of its fair value in less than one year.

He added that the difference between the black market and the official window has disappeared.

Proofreading by Nkem Ikeke, journalist and copy editor at Legit.ng.

Source: Legit.ng