The Central Bank of Nigeria has reduced the exchange rate for cargo clearance at Customs area command to N1572.50 from N1593.41 just two days ago. This represents a drop of N20.91 in just a few days.
In the past few days as the naira stabilises around N1500 to N1650, the exchange rate for customs cargo clearance has mirrored the prevailing official market rate.
According to the Nairametrics daily FX monitor, the Naira closed at N1560.57/$1 on the official window while that of the parallel market stood at N1600 to the USD.
The difference between the closing of the Naira on the official window and the recent customs cargo clearance rate is just N11.93 justifying the CBN’s action using the official market rate to determine the cargo clearance rate.
The exchange on the official market in recent times has almost converged with that of the parallel market further solidifying the CBN’s forex market unification reform of June 2023.
CBN policy on fluctuations in Customs FX rate
While there have been fluctuations in the exchange rate for cargo clearance in recent times following the devaluation, the CBN has clarified the confusion faced by the business community in a circular stating that the exchange rate on the date of creating Form M should be used for import duty assessment.
- It stated, “To this effect, the Central Bank of Nigeria wishes to advise the Nigeria Customs Service and other related parties to adopt the FX rate on the date of opening the Form M for importation of goods, as the FX rate to be used for import duty assessment. This rate remains valid until the date of termination of the importation and clearance of goods by the importers.”
The Comptroller General of the Nigeria Customs Service (NCS) had earlier stated that the service does not fix the exchange rate but the duty of the apex bank.
