Dr Olayemi Michael Cardoso, acting Governor of CBN

Relief for importers as CBN slashes Customs duties exchange rate

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The Central Bank of Nigeria (CBN) has announced a three per cent reduction in the exchange rate used for computing Customs duties at the nation’s seaports, providing some relief to importers.

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The move comes amidst the continuing strengthening of the naira against the US dollar, contributing to a more favourable environment for trade.

According to information obtained from the official trade portal of the Nigeria Customs Service, the Customs FX duty rate has been revised downward from N1,448.386/$ to N1,405.466/$ as of Tuesday, March 26.

This represents a significant decrease of N42.92 per dollar needed to clear goods from the port, offering importers some financial respite.

The reduction in the exchange rate for Customs duties calculation follows the CBN’s directive that Customs should use the rate on the date of submitting Form M for import duties calculation.

The new directive aims to align Customs procedures with the current exchange rate dynamics, ensuring fairness and transparency in trade transactions.

Importers opening Form M for importation on Tuesday, March 26, will benefit from the slashed exchange rate compared to those who opened Form M on previous days.

Despite the CBN’s directive, shippers have raised concerns regarding the delay in Customs implementing the new exchange rate policy.

Innocent Akuvue, President-General of the National Shippers Association of Nigeria (NASAN), highlighted the negative impact of Customs’ failure to adhere to the directive.

He cited increased costs of doing business at the port and rising commodity prices due to fluctuating exchange rates for computing Customs duties.

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