Customs Lost N467bn In 2023 To Cash Crunch, Naira Re-design Policy – Comptroller Adeniyi

The Comptroller General, Nigeria Customs Service (NCS), Bashir Adeniyi has explained that, the cumulative effects of 2023 being an election year, cash crunch, Naira re-design and other factors led to the drastic reduction on Customs revenue.

He stated this at an interactive session with the House of Representatives Committee on Customs and Excise on Wednesday.

The interactive session was on the review of the Service’s 2023 budget performance and its 2024 proposed budget.

He said that uncertainties and anxiety towards 2023 elections and suspension of excise on single use plastics, carbonated drinks, telecommunications VAT affected Customs revenue.

He added that other major causes were the cash crunch, currency redesign which he said also contributed a lot to the revenue in the first half of 2023 as Cargo throughput also reduced drastically in the year under review.

Adeniyi said the revenue projection was N3.669 trillion but the Service collected N3.202 trillion from January to December 2023 which shows a N467 billion negative variance below target due to the factors listed.

He said the NCS has done its best to meet targets but were hampered by the factors which include Import Duty Exemption.

In his address, Chairman of the Committee, Hon. Leke Abejide said, over the four budget cycles the Committee has witnessed the emphasis placed on E-customs for trade facilitation and other economic contributions of the process.

According to him, the impact of E-customs cannot be overemphasised adding that its understanding will make for a more technologically advanced customs.

He noted that, budget framework must align with the main objective of a reformed customs that will go with the time and deliver its mandate.

Hon. Abejide said the committee will intensify its oversight function to ensure adherence to the set objectives and laws.