The Nigerian Senate has called on the Minister of Finance, Wale Edun, to explain the sudden suspension of the 4% Freight on Board (FOB) charges, a significant part of the country’s revenue generation system.
This development came after the Senate Committee on Customs, chaired by Senator Isah Jibrin, asked the Nigeria Customs Service (NCS) to increase its 2025 revenue target from ₦6 trillion to ₦10 trillion. The push for higher revenue is driven by the need to tackle rising security challenges and curb widespread smuggling across Nigeria’s borders.
During a budget defense session on Monday, Deputy Comptroller General of Customs, Jibo Bello, disclosed that the Ministry of Finance had directed the NCS to stop collecting the 4% FOB charge. However, the Senate raised concerns that this directive could be a legal violation.
Senator Jibrin criticized the move, highlighting that it creates a major policy gap. He stressed that the Finance Minister must provide a clear explanation for the suspension. Lawmakers fear that removing such charges could significantly reduce revenue and bypass due legal processes.
The Finance Minister is expected to appear before the Senate committee on Thursday, along with other key stakeholders. The Senate says the goal is to ensure transpa
