Nigeria’s economic reform efforts received a major endorsement on Friday as the Federal Government welcomed the upgrade of the country’s sovereign credit rating by S&P Global Ratings, describing it as clear evidence that ongoing policy changes are yielding tangible results.
In a statement, the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the upgrade from ‘B-’ to ‘B’ with a stable outlook reflects growing international confidence in Nigeria’s economic direction, policy consistency, and medium-term growth prospects.
He noted that the latest action by S&P follows similar positive assessments by Fitch Ratings and Moody’s Ratings earlier in 2025, reinforcing the country’s improving global credit standing.
According to the minister, the independent ratings collectively affirm that the “difficult but necessary reforms” implemented under President Bola Tinubu are beginning to stabilise the economy and lay the groundwork for long-term resilience.
S&P, in its assessment, cited improvements in Nigeria’s external position, stronger balance of payments, rising oil production, and expanding domestic refining capacity as key drivers of the upgrade.
The agency also acknowledged the government’s continued implementation of macroeconomic reforms, particularly the liberalisation of the foreign exchange market.
Oyedele further highlighted ongoing fiscal reforms aimed at boosting revenue generation, broadening the tax base, enhancing transparency, and improving debt sustainability.
He disclosed that Nigeria’s debt-to-revenue ratio has improved significantly since 2023 and is expected to decline further as reforms deepen.
“The upgrades by Fitch, Moody’s, and now S&P send a strong signal to global investors and the international business community that Nigeria is regaining macroeconomic credibility,” the statement said.
The Federal Government reiterated its commitment to prudent fiscal management and a market-driven economy, stressing that it would not reverse key policies such as the removal of fuel subsidies, which it said previously created fiscal distortions and weakened foreign exchange liquidity.
While describing the ratings upgrade as encouraging, the government acknowledged that challenges remain, particularly in addressing inflation, improving food security, and creating jobs.
It assured that reforms would continue with “discipline, pragmatism, and compassion,” adding that efforts are ongoing to ensure that economic growth translates into inclusive prosperity for Nigerians.
The government also expressed appreciation to citizens for their patience and resilience, noting that the improved ratings outlook would enhance Nigeria’s ability to attract investment and secure financing on more favourable terms in the global market.
