The development comes amid the massive crash of the Nigerian naira in the parallel and the official Nigerian Foreign Exchange Market (NFEM) on Thursday, March 6, 2025.
CBN raises Customs duty rates
The apex bank increased the Customs rate from N1,500 to N1,511.802 as the dollar strengthened in the markets.
Importers who opened Form M on Friday, March 7, 2025, will now pay N10 naira higher than those who did the day before.
The customs duty for cargo clearance is set by the CBN relative to the current exchange rates.
The FX rates converge at N1,520 per dollar
The development comes as the naira crashed by N15 at NFEM on Thursday, March 6, 2025.
The official rate for the dollar was traded for N1,520 per dollar from N1,505 the previous day.
Currency dealers quoted the dollar’s spot rate at a high of N1,520 and a low of N1,505 per dollar.
Meanwhile, feelers from the street show that the naira also depreciated in the parallel segment of the FX market, trading at N1,520 per dollar.
The development means that the rates have converged again in the markets.
The current naira’s new value came amid the depreciation of Nigeria’s foreign exchange reserves.
Foreign exchange reserves depreciate
According to data from the Central Bank of Nigeria, the nation’s reserves stood at $38.4 billion as of March 5, 2025, relative to $38.3 billion.
It means that despite the reserves appreciating by $695.5 million in 24 hours, it is still a far cry from the 2025 peak of $39.1 billion on February 12, 2025.
The decline has been attributed to several factors, including debt service and foreign exchange market interventions to defend the naira.
Meanwhile, the naira appreciated in the parallel segment of the foreign exchange market at N1,512 from N1,515 per dollar.
Consequently, the margin between the parallel market and NFEM rate narrowed to N7 per dollar from N13 per dollar.
Analysts have disclosed that various interventions by the CBN were responsible for the relative naira stability, citing reforms by the apex bank.
In 2024, CBN reportedly issued about 20 circulars aimed at correcting market shortcomings and providing stability.
The reforms were praised for restoring confidence in the FX markets and boosting liquidity, transparency and efficiency.
The apex bank recently launched the FX Code to enhance transparency in the local currency market.
It warned banks and dealers against flouting the code’s tenets, which were anchored on six pillars.
Source: www.legit.ng
