S&P upgrades Nigeria’s outlook to ‘positive’

Standard & Poor’s (S&P) Global Ratings on Friday revised its outlook on Nigeria to “positive” from “stable” backing the country’s ongoing economic reforms.

The New York-based financial information and analytics company, also affirmed the country’s rating at “B-/B”.

“The monetary, economic, and fiscal reforms being implemented by Nigerian authorities will yield positive benefits over the medium term,” S&P said in a statement.

In May, Moody’s upgraded Nigeria’s rating by one notch to “B3” from “Caa1”, citing notable improvements in the country’s external and fiscal positions, while Fitch last month kept its “B” rating and “stable” outlook.

In 2023, President Bola Tinubu launched Nigeria’s boldest reforms in decades, scrapping the costly petrol subsidy and removing currency trading restrictions to spur growth and attract foreign investment, Reuters reported.

Responding on X, the Minister of Finance Coordinating Minister of the Economy, Mr. Wale Edun in a statement said, “I am delighted to receive the news that S&P Global Ratings has revised Nigeria’s outlook to Positive from Stable while affirming our ‘B-/B’ rating. This development is yet another clear signal that the difficult but necessary reforms we are undertaking are gaining traction and earning strong recognition from respected global institutions.

“Coming in the same year that Moody’s and Fitch Ratings each issued improved assessments of Nigeria’s credit position, S&P’s latest action means that all three of the world’s major ratings agencies now acknowledge the significant progress we are making. This alignment reflects tremendous confidence in the direction of our fiscal, monetary, and structural reforms, and in the renewed strength and stability of our economy.

“ As S&P rightly noted, Nigeria’s reform programme is already beginning to yield benefits, with improved growth prospects, strengthening external buffers, and clearer monetary policy outcomes. These positive signals reinforce our commitment to staying the course. While we are fully aware that more work lies ahead, the foundations we are building today will support inclusive and sustainable growth for years to come.

“I commend His Excellency President Bola Ahmed Tinubu for his unwavering leadership and political courage in advancing reforms that had been delayed for far too long. I also acknowledge the resilience and patience of the Nigerian people, whose understanding and support remain central to our success.

“We will continue to implement well-coordinated policies that restore macroeconomic stability, attract investment, and create opportunities for our citizens. The confidence shown by global ratings agencies strengthens our resolve to deliver a stronger, more dynamic, and more prosperous Nigerian economy.”

Also, the Governor, Central Bank of Nigeria (CBN), Olayemi Cardoso, has commended Nigeria’s rating by S&P Global Ratings, which revised its outlook on Nigeria to “positive” from “stable”. The Governor at a strategic session in Abuja noted that the CBN has brought stability to the economy and become a beacon of hope.