A new flexible exchange rate, which is yet to be introduced by the Central Bank of Nigeria has slized the Nations currency to N285 per dollar at the inter bank market.
This report though has raised the reaction of the Nigerian customs. It was reported that by tomorrow being 1, June 2016 the disclosed rate will be put into effect, for the calculation of duty on all imports. As the president of the country Muhammadu Buhari has urged the CBN to go into actions and introduce flexibility in the naira exchange rate.
Notwithstanding the delay by the Central Bank of Nigeria to publish to the public the details of the new flexible exchange rate policy, The currency has switched to N285 per dollar at the interbank market. This policy will indeed bring an awesome oppurtunity for the citizens to walk into the bank and ask to buy forex at the market rate thereby putting pressure on the black market and bureau de change operators.
This new policy which has switched the naira to N285 a dollar at the interbank market also means that banks and Bureau De Change (BDC) operators will have to source forex autonomously and sell according to market dynamics.
The New rate represents about 43.2% increase from N199 to the dollar it previously traded which when analysed critically suggests that the market is gradually adjusting itself.
President buhari reportedly announced that he wants a stable currency and would ensure this is put into effect.
A statement signed by Wale Adeniyi, the public relations officer for Comptroller-General of Customs, read: “The attention of the Nigeria Customs Service has been drawn to a misleading publication in some online platforms claiming that the Service has announced N285 per dollar for duty calculation as from 1st June 2016.
“For the avoidance of doubt, the responsibility of fixing official duty rates is the function of the Central Bank of Nigeria (CBN) hence the Service could not have been the one to announce a new official rate as purported in the publication that gave no source. The extant rate issued by CBN which is still the basis for duty calculation is N197.
“Nigeria Customs Service has not received any new rate from the CBN neither is it aware of any dissemination of contrary information on this subject matter.
“The General Public is therefore advised to discountenance the misleading publication and continue to comply with the extant rates until such a time as may be deemed fit for review by the CBN.”
Speaking in an interview on Nigeria Television Authority (NTA), Garba Shehu, the senior special assistant on media and publicity to President Buhari said: “The president is opposed to devaluing the naira, he has said so repeatedly.
“He has given them leeway to introduce what he has called ‘flexibility in managing’ the currency’s value. He stated.