The Centre for the Promotion of Private Enterprises (CPPE) has urged the Central Bank of Nigeria (CBN) to adopt a framework to stabilize the customs duty exchange rate.
The CPPE founder, Muda Yusuf said a stable rate would encourage investor confidence and spur economic growth.
Yusuf is displeased with the now regular fluctuations in the customs duty exchange rate which he opined have increased investment risk and caused significant volatility in cargo clearing prices.
“In the first quarter of this year, there were changes in the customs duty exchange rate twenty-eight times,” he stated on Wednesday.
“In April, the frequency of changes would be close to ten times or even more. As of May 1, 2024, the rate has jumped to N1,373.65 per dollar.
“It was less than N1,200 per dollar a few days before.”
Yusuf decried the impact on planning and production, especially in the real sector of the economy.
According to him, investors have a dual problem because of the high degree of unpredictability in the global trade environment and the volatility of the foreign exchange market.
Yusuf proposed a commencement rate of N1,000 per dollar customs duty exchange rate.
