Customs adjusts FX rate for import duties to N1,480/$

The foreign exchange (FX) rate for tariffs and duties used by the Nigeria Customs Service (NCS) has dropped to N1,480 per dollar.

TheCable observed that the new rate reflected on the single window trade portal of the federal government, on Monday.

According to information on the portal, the NCS exchange rate was reduced by 3.28 percent — from N1,530/$ on May 17.

The customs rate is marginally lower than the official FX rate of N1,510/$ recorded at the close of trade on May 24.

Customs typically adopt FX rates recommended by the Central Bank of Nigeria (CBN) for import duties based on trading activities in the official FX market.

At the close of today’s trade, the Nigerian currency appreciated to  N1,339.33/$ 

On May 16, Muda Yusuf, director-general of the Centre for the Promotion of Private Enterprise (CPPE), said customs should set a quarterly exchange rate between N800/$ and N1000/$ for import duties assessment.

Yusuf said the continuous fluctuation affects inflation.

The DG said setting a fixed rate was necessary to reduce the pass-through effect of heightening trade costs on inflation.