The Central Bank of Nigeria (CBN) has announced a 7.3 percent reduction in the customs duty rate at the nation’s seaports, in response to the strengthening of the naira in the official foreign exchange window. Effective from Friday, February 23, 2024, the exchange rate for computing customs duties has been lowered from N1,605.82/$ to N1,488.896/$, as reported by the Nigeria Customs Service’s official trade portal.
This adjustment signifies a notable decrease compared to the previous rate of N1,605.82/$ as of Thursday, February 22, 2024, resulting in a saving of N116.924 less per dollar for importers. It marks the second downward revision in 2024, aiming to provide some relief to importers amidst economic uncertainties.
Mr. Emenike Nwokeoji, the National president of the Association of Nigeria Licensed Customs Agents (ANLCA), has urged the CBN to stabilise the exchange rate for customs duties over a six-month period. He emphasised the need for consistency to enable businesses to plan effectively, especially for those with bank financing.
Industry expert and licensed Customs agent, Mr. Taiwo Mustapha, highlighted the adverse effects of fluctuating exchange rates on businesses, particularly in the port industry. He expressed concerns about the impact on Customs licensed agents and importers, leading to a drastic reduction in cargo volume at ports and posing threats to livelihoods. Amidst these challenges, stakeholders call for measures to stabilise the exchange rate and support business resilience in the face of economic fluctuations.
