The Central Bank of Nigeria (CBN) has significantly reduced the exchange rate for customs import duties collection, marking the lowest rate observed in the past eight weeks.
According to ENTREPRNEURNG’s findings, the exchange rate for customs duties collection has dropped from N1405/$ to N1303.8 against the USD. This notable decrease of N102, or 7.24%, occurred within 48 hours.
The current FX rate of N1303/$ stands as the lowest recorded since February 2nd, 2024, when the exchange rate for customs duties was at N1356.8/$.
This consistent decline in the customs exchange rate mirrors the strengthening of the naira in the official and parallel markets over the last fortnight.
The Nigeria Customs Comptroller-General previously indicated that the exchange rate for duties collection would be determined by the CBN, based on the official market rate.
Recent trends underscore a sustained devaluation of the USD relative to the naira, indicating the naira’s appreciation against other currencies across official and parallel foreign exchange platforms. Over the past two weeks, the naira has experienced a substantial uptick in value, climbing from N1,615 per dollar on March 13th to N1,382 per dollar by March 26th.
In the realm of FX inflows, yesterday saw the official NAFEM window closing at N1309/$1, further validating the impact of recent CBN policies and reforms. Additionally, the forex market witnessed a daily turnover of $857 million, marking the highest volume since 2021.
Following the CBN’s recent Monetary Policy Committee (MPC) meeting, which saw a 200 basis points increase in the interest rate from 22.75% to 24.75%, the apex bank announced an influx of $1.5 billion into the economy. The CBN attributed these substantial FX returns to investor confidence in its efforts to stabilize the foreign exchange market.
