The Comptroller General, Nigeria Customs Service (NCS), Bashir Adeniyi, has said the 2023 general elections, cash crunch, the Naira re-design policy, and other factors led to the drastic reduction in the revenue generated for the year.
According to him, uncertainties and anxiety towards the 2023 elections and suspension of excise on single-use plastics, carbonated drinks, and telecommunications Value Added Tax (VAT) affected Customs revenue.
Adeniyi disclosed this at an interactive session on the review of the service’s 2023 budget performance and its 2024 proposed budget by the House of Representatives Committee on Customs and Excise on Wednesday.
He added that other major causes were the Cash crunch, and currency redesign which contributed 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 N4062.9 billion negative variance below target due to the factors listed.
He said the NCS has done its best to meet targets but was hampered by the factors which include Import Duty Exemption.
Chairman of the Committee, Leke Abejide said, that over the four budget cycle, the Committee has witnessed the emphasis placed on E-customs for trade facilitation and other economic contributions of the process.
According to him, the need for an E-customs cannot be overemphasized adding that it’s understanding will make 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.
Abejide assured that the committee will intensify its oversight function to ensure adherence to the set objectives and laws.
