The Presidential Committee on Fiscal Policy and Tax Reforms has proposed to the federal government the adoption of an exchange rate of N800 per dollar for customs import duty.
Speaking to journalists in Lagos on Thursday, Taiwo Oyedele, the committee’s chairman, highlighted the challenges posed by the fluctuating import duty rates due to the volatility of the foreign exchange (FX) market, hindering business planning.
Oyedele emphasized the need for stability, stating, “When we did the budget, we said naira to the dollar will be N800, now it is 1,000 something. People need to plan.” Therefore, the committee proposed that the government sign an order to maintain the exchange rate at N800 for import duty payments until December.
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In recent times, the Nigerian Customs Service (NCS) has frequently adjusted the FX rate for tariffs and duties. On May 27, the customs set the FX rate at N1,480 per dollar, typically following the Central Bank of Nigeria’s (CBN) recommendations based on trading activities in the official FX market.
Earlier, on May 16, Muda Yusuf, Director-General of the Centre for the Promotion of Private Enterprise (CPPE), suggested that customs should establish a quarterly exchange rate between N800/$ and N1000/$ for import duty assessments.
