Naira slumps to 391/dollar

The naira tumbled further significantly at the parallel market on Thursday, hitting 391 against the dollar as foreign exchange scarcity continues to batter the economy of Africa's largest oil exporter.

The currency has entered a free-fall mode against the dollar at the black market, having lost 26 per cent of its value in less than two weeks.

The naira had exchange for one dollar at 372 on the streets of Lagos, Abuja and other major cities on Wednesday.

The local currency, which closed at 310 against the greenback last Monday, has been falling consistently and significantly in the past 11 days.

Forex dealers and financial experts linked the persistent fall of the naira to panic buying of the dollar and other major hard currencies by importers, individuals and businessmen.