Again FX dutyslashes FX duty rate to N1,572.5/$, eases import burden

The Nigeria Customs Service has announced a downward review of the FX duty rate from N1,593.41/$ to N1,572.507/$ on Tuesday, March 19, as per information sourced from its official trade portal.

This adjustment marks a 1.3 percent reduction compared to the previous rate, translating to a decrease of N20.903 per dollar for clearing goods at the port.

Importers initiating Form M today will benefit from reduced import duties, offering relief compared to those who opened Form M last Friday.

The move aligns with the Central Bank of Nigeria’s directive for Customs to utilise the exchange rate on the date of Form M submission for duty calculations.

Industry experts attribute the slash in Customs FX duty rate to naira stability in the foreign exchange market. Recent convergence of official and parallel-market exchange rates, alongside increased capital inflows, supports forecasts of naira strengthening, as indicated by Goldman Sachs Group.

Data from NAFEX illustrates this trend, with the naira opening at N1,597.34/$ and closing at N1,572.86/$ on March 18, compared to N1,602.75 on March 15.