Economy

Import Duties to be calculated on basis of prevailing exchange rate -CBN tells importers

Published

10 months ago

February 26, 2024

By Emmanuel Agaji

The Central Bank of Nigeria (CBN) weekend ended the anxiety and about two months of confusion suffered by importers and customs agents on what foreign exchange rate their import duties should be assessed.

This was as a result of fluctuations in the exchange rate for Customs duty payments.

The apex bank said on Friday said that the prevailing exchange rate on the date the Form M was opened for the importation of goods will be adopted for calculating duties on imported goods effective Monday, February 26.

This was contained in a circular signed by the the Director Trade and Exchange Department of CBN, Dr Hassan Mahmud.
Mahmud said in the circular that the Customs is free to henceforth accept the exchange rate applicable on the date the importer opens his Form M, until the cargoes come into the country and cleared from the ports.
Part of the circular reads:

“Following the liberalization of the FX market on Willing Buyer — Willing Seller trading principle,
the Central Bank of Nigeria has noted the concerns of Importers of goods and services in the irregular changes in the Import Duty Assessment levies applied by the Nigeria Customs Service
These developments have further built uncertainties around the pricing structure of goods and services in the economy and creating abnormal increases in the final sale prices of items, which is largely driven by uncertainties, rather than traditional market fundamentals, with implications to near term inflation trend.

“To this effect, the Central Bank of Nigeria wishes to advise that the Nigeria Custom Service and other related Parties adopt the closing FX rate on the date of opening Form M for the 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 importers.

“This would enable the Nigeria Custom Service and the importers to effectively plan appropriately and reduce the uncertainties around varying daily exchange rate in determining their revenue or cost structure, respectively.
“Therefore, effective 26″ February 2024, the closing rate on the date of opening of Form M for the importation of goods and services would be the rates that would apply for the assessment of import duty.

This supersedes the requirements of Memorandum 9, J (2) of the Central Bank of Nigeria Foreign Exchange Manual. (Revised Edition), 2018.

While the CBN is mindful of the initial volatility and price distortions in the aftermath of the FX market liberalization, the Bank is confident that these reforms, would in the medium term, ensure stability in the market and entrench market confidence necessary to attract investment capital for the growth and development of the Nigerian economy”.

Economy

SEE Black Market Dollar (USD) To Naira (NGN) Rate As Of December 18, 2024

Published

15 hours ago

December 18, 2024

Naijablitznews

Black Market Dollar (USD) To Naira (NGN) Rate As Of December 18, 2024Wondering about the current Dollar to Naira exchange rate at the black market, also known as the parallel market? Here’s the latest update for December 17, 2024, along with the rates for buying and selling US dollars in the Nigerian black market.

How Much is a Dollar to Naira Today in the Black Market?

As of Tuesday, December 17, 2024, the exchange rate at the Lagos parallel market (Black Market) stands as follows:

•Buying Rate: N1665

•Selling Rate: N1675

These rates reflect what buyers and sellers are willing to trade US dollars for in the black market. However, please keep in mind that these rates are subject to change and can fluctuate based on supply and demand.

Dollar to Naira Black Market Rate – December 17, 2024

•Buying Rate: N1665

•Selling Rate: N1675

Dollar to Naira CBN Rate Today

The official Central Bank of Nigeria (CBN) rates differ from those in the black market. For today, the CBN exchange rate for the Dollar to Naira is:

•Highest Rate: N1555

•Lowest Rate: N1520

It’s important to note that the Central Bank of Nigeria (CBN) does not endorse the black market exchange rate. The CBN encourages individuals to conduct their foreign exchange transactions through approved channels, such as commercial banks and licensed Bureau De Change (BDC) operators.

Please be aware that the exchange rates for buying or selling foreign currency may differ from the values listed here, as they can vary throughout the day. Always confirm rates with your local dealers before making any transactions.

Economy

SEE Today’s Black Market Dollar (USD) To Naira (NGN) Exchange Rate – 16th December 2024

Published

3 days ago

December 16, 2024

Naijablitznews

The exchange rate for the Dollar to Naira in the black market (parallel market), also known as the “Aboki FX” rate, is as follows for 15th December 2024:

•Buying Rate: ₦1,660

•Selling Rate: ₦1,670

This rate reflects the price at which traders in the Lagos parallel market (black market) are buying and selling dollars, as reported by sources at Bureau De Change (BDC).

It is important to note that the Central Bank of Nigeria (CBN) does not officially recognize the parallel market and encourages individuals to conduct foreign exchange transactions through authorized banks.

Central Bank of Nigeria (CBN) Rate for Dollar to Naira

•Highest Rate: ₦1,549

•Lowest Rate: ₦1,520

The rates you receive may vary slightly from those mentioned here, as forex prices fluctuate based on market conditions.

CBN Takes Tough Action on New Naira Notes

In another development, the Central Bank of Nigeria (CBN) has imposed a ₦150 million fine on commercial banks found guilty of supplying newly minted naira notes to currency hawkers. This move is part of the CBN’s ongoing efforts to prevent the illegal trade of naira notes and ensure proper circulation to the public.

The penalty comes as the CBN reaffirmed the continued validity of the old ₦1,000, ₦500, and ₦200 notes following a Supreme Court ruling on November 29, 2023. The CBN also warned against the hoarding of cash, which disrupts the smooth flow of money in the economy.

Economy

NNPCL Crashes Petrol Price, See New Petrol Price

Published

4 days ago

December 15, 2024

Kayode Sanni-Arewa

The Nigerian National Petroleum Company Limited, NNPCL, has reduced the price of Premium Motor Spirit (petrol) across its retail outlets in the Federal Capital Territory, Abuja.

According to a reporter from Dailypost who visited NNPCL retail outlets observed that the petrol pump price was reduced from N1,060 to N1,040 per litre. This represents a reduction of N20.

“The price was reduced to N1,040 per litre from N1,060 on Saturday morning,” a filling station attendant at the NNPCL retail outlet along Kubwa expressway said.

A motorist, Ezekiel Njoku, confirmed the development.

“The reduction of N20 is significant. We need further fuel price reductions in the coming days,” he said.

With the price cut, Nigerians will now buy petrol at N1,040 per litre at NNPCL filling stations, while prices remain within N1,115 per litre at other filling stations, depending on the location.

This development comes barely three weeks after the state-owned Port Harcourt refinery began producing petroleum products in November 2024.

The former Managing Director of NNPCL Retail, Prof. Billy Okoye, had earlier speculated that a fuel price reduction was imminent with the commencement of production at the Port Harcourt refinery.

Oil marketers, the Independent Petroleum Marketers Association of Nigeria, IPMAN, and the Petroleum Products Retail Outlets Owners Association, PETROAN, had also hinted that the deregulation of the sector—coupled with the operations of Dangote and Port Harcourt refineries—would lead to a drop in petrol prices.