Nigeria has suspended the planned 4% customs levy on imports after widespread opposition from traders and experts.
The Federal Government has suspended the four per cent Free on Board (FOB) levy on imports, following widespread backlash from traders, shipping companies, and industry stakeholders.
Finance Minister and Coordinating Minister of the Economy, Wale Edun, in a letter dated September 15 and addressed to the Comptroller-General of Customs, Bashir Adeniyi, ordered the immediate suspension.
The directive, signed by Raymond Omachi, Permanent Secretary for Special Duties, explained that consultations revealed the levy would worsen inflation, increase costs, and weaken Nigeria’s trade competitiveness.
“Following extensive consultations… it has become clear that the implementation of the levy poses significant challenges to trade facilitation, the business environment, and overall economic stability,” the letter stated.
The suspension, however, is not a cancellation. The government says further engagement with stakeholders will guide a fairer revenue framework that supports growth without stifling trade.
Importers have welcomed the move as relief amid inflationary pressures.