Once again, the foreign exchange rates for cargo clearance at the nation’s seaports and international airports have experienced a decline, coinciding with the ongoing strengthening of the Naira against foreign currencies, notably the United States dollar, across both parallel and official markets.
According to recent reports by LEADERSHIP, the Central Bank of Nigeria (CBN) announced a reduction in the foreign exchange rate for cargo clearance from N1,572.507/$1 to N1448.386/$1 on Saturday. This adjustment reflects a significant 7.8% decrease, with a notable difference of N124.121 between the new and previous rates.
Further insights reveal that the official exchange rate between the Naira and the Dollar reached N1,431/$ on Friday, March 22, 2024, marking a positive trend for the week’s closure. Data sourced from the FMDQOTC, the platform where official exchange rates are determined, indicates a 1.52% increase at the close of business, continuing a seven-day rally. Over the course of a single week, the Naira has appreciated by more than 12%, suggesting that the central bank’s policy interventions, particularly since February, are yielding positive results.
Meanwhile, at the parallel market where exchange rates are unofficially traded, traders are still quoting rates ranging between N1400-N1480/$1, contingent upon individual transactions. This development signifies favorable conditions for importers, especially those who initiated Form M procedures on Wednesday, as they stand to benefit from reduced clearance costs due to import duties being pegged against the dollar.
Additionally, importers who submitted Form M requests on Friday, March 23, 2024, will face comparatively higher rates, aligning with the apex bank’s recent directive to Customs authorities to calculate import duties based on the exchange rate prevalent on the date of Form M submission.
