See Customs' new exchange rate to clear goods at ports as naira falls

• The CBN has again updated the dollar exchange rate for importers to clear goods at the ports and airports
• The new exchange rate is higher than the exchange rate of the naira in the foreign exchange market
• The customs exchange rate is now higher than the rate at which the dollar is sold in the Nigerian Autonomous Foreign Exchange Market

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 announced a new exchange rate used to calculate customs import duties at the nation's ports and airports.

Customs duties are taxes and levies paid on goods imported into the country.

Nigerians to pay more to clear goods Photo credit: Benson Ibeabuchi
Source: Getty Images

The duties are paid through a commercial bank to the Nigeria Customs Service, which receives on behalf of the federal government.

Customs new exchange rate

According to data obtained from Nigeria's federal government trading portal, the CBN increased the duty rate to N1,584.23 per dollar on Thursday, July 18, 2024.

The new rate represents a 1.18% increase from the previous rate of N1,565.618 per dollar on Wednesday, July 17, 2024.

How customs rate is calculated

Under the central bank's new directive, Customs will calculate duties based on the exchange rate on the day Form M is submitted.

This adjustment means that importers who open Form M on Thursday will be charged according to the updated rate.

Form M is a mandatory online documentation process for importing physical goods into Nigeria

Customs rate now higher than official rate

Despite pleas from importers for the federal government to set a fixed exchange rate below N1,000, checks by Legit.ng show that the new Customs duty rate is now higher than the closing naira-to-dollar exchange rate in the official market.

The naira closed against the US dollar at N1,581.65 on Wednesday, July 17, 2024, in the official Nigerian Autonomous Foreign Exchange Market (NAFEM).

Peter Obi on new Customs exchange rate

Earlier, Legit.ng reported that the Central Bank of Nigeria adjusted the Nigeria Customs Service foreign exchange rate for clearing imported goods at Nigerian ports.

Peter Obi reacted to the latest changes and expressed concerns that they could lead to the death of many businesses.

He further advised the government on actions to help the naira recover against the US dollar.

Source: Legit.ng