CBN Announces New Exchange Rate To Clear Goods at Ports As Naira Records Massive Gain

• The Central Bank of Nigeria has significantly reduced the exchange rate to clear goods at ports and airports
• The development follows the strong performance of the naira in the Nigerian Foreign Exchange Market (NFEM)
• The apex bank uses the closing rate of the previous day to determine the exchange rate used for Form M by importers

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Central Bank of Nigeria (CBN) has slashed the customs duty rate for importers, effectively making the cost of importing goods cheaper.

According to data from Nigeria's trade portal, on Thursday, June 03, the apex bank reduced the exchange rate for clearing goods to N1,564.96 per dollar.

The latest rate represents a 1.01% drop compared to the N1,581.08/$ exchange rate quoted as of Tuesday, June 5.

The latest adjustment is the second for June.

Customs exchange rate changes

The Nigeria Customs Service (NCS) exchange rate for import duties dropped due to the performance of the Nigerian currency in the different segments of the foreign exchange (FX) market.

On Wednesday, June 4, the naira's value strengthened further against the United States Dollar.

The Naira appreciated for the third straight session at the Nigerian Foreign Exchange Market (NFEM) midweek, gaining N13.50 or 0.85 per cent against the US Dollar to close at N1,565.95/$1, compared with N1,579.45/$1 in the previous session.

The Nigerian currency also advanced against the Pound Sterling, strengthening by N20.45 to settle at N2,122.92/£1 from Tuesday’s rate of N2,143.37/£1.

Similarly, it appreciated against the Euro by N20.95 to close at N1,788.54/€1, up from N1,809.49/€1 a day earlier.

Why did the naira appreciate?

The Nigerian currency has maintained this upward trend because the market seems to have found a bit of stability, helped by the Central Bank of Nigeria (CBN).

According to the Governor of the CBN, Yemi Cardoso, the renewed level of stability in the Naira is the result of deliberate and disciplined reform efforts undertaken by the apex bank.

The recent appreciation of the Naira is attributed to increased market stability, underpinned by reforms from the CBN.

CBN Governor Yemi Cardoso, in a series of posts on X (formerly Twitter), said the improved stability reflects deliberate and disciplined policy actions by the apex bank.

Cardoso noted that one of the most significant outcomes of these reforms is the narrowing gap between official and parallel market exchange rates.

Naira exchange rates against other currencies

• CFA: N2.748
• Yuan/Renminbi: N217.84
• Danish Krone: N239.80
• Euro: N1,788.54
• Japanese Yen: N10.92
• Saudi Riyal: N417.36
• South African Rand: N86.97
• Swiss Franc: N1,909.10
• Pound Sterling: N2,122.92

Nigerian customs announces sale of N400/litre petrol

Earlier, Legit.ng reported that the Comptroller General of the Nigeria Customs Service (NCS), Adewale Adeniyi, authorised the immediate auction of seized petrol at a discounted rate of N10,000 per 25-litre jerrycan.

This means a litre of petrol will be sold at N400/litre.

The product was seized over the weekend by the agency’s task force, Operation Whirlwind, which confiscated petrol valued at over N63 million in the Lagos-Ogun axis.

Source: Legit.ng