By our Reporter
The Federal Government has welcomed the decision by S&P Global Ratings to upgrade Nigeria’s sovereign credit rating from ‘B-’ to ‘B’ with a Stable Outlook, describing the development as a strong indication of growing international confidence in the country’s economic reforms.
The Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, in a statement on Friday, said the latest upgrade follows similar positive rating actions by Fitch Ratings and Moody’s Ratings earlier in 2025.
According to him, the assessments by the global rating agencies affirm that the economic reforms introduced under President Bola Ahmed Tinubu are beginning to yield measurable results and strengthen the country’s economic outlook.
Oyedele noted that S&P highlighted improvements in Nigeria’s external position, stronger balance of payments performance, increased crude oil production, expanding domestic refining and export capacity, as well as sustained implementation of macroeconomic reforms, including foreign exchange market liberalisation.
The minister added that the rating agency also acknowledged ongoing fiscal reforms aimed at broadening the tax base, improving public revenue mobilisation, enhancing fiscal transparency, and strengthening debt sustainability.
He said Nigeria’s debt-to-revenue ratio had improved significantly since 2023 and was projected to decline further as the reforms mature.
“The upgrades by Fitch, Moody’s and now S&P send a strong signal to global investors, development partners, financial markets and the international business community that Nigeria is regaining macroeconomic credibility and restoring confidence in the management of its economy,” the statement read.
The Federal Government reiterated its commitment to prudent fiscal management, macroeconomic stability and structural reforms that support inclusive and sustainable economic growth.
Oyedele stated that the government remained opposed to the reintroduction of fuel subsidies, noting that such policies previously created fiscal distortions, encouraged smuggling, weakened foreign exchange liquidity and diverted resources away from critical national priorities.
He further stressed that the government would continue to support a market-driven economy anchored on transparency, competition and effective regulatory oversight.
According to him, the Federal Government remains committed to policies that encourage free enterprise, protect private investments and provide a stable and predictable environment for businesses to thrive.
While describing the positive ratings outlook as encouraging, the minister acknowledged that challenges still remained, particularly in addressing inflationary pressures, improving food security, creating jobs and ensuring inclusive economic growth.
He assured that the Federal, State and Local Governments would continue implementing reforms with discipline, pragmatism and compassion while maintaining engagement with citizens and stakeholders.
Oyedele also appreciated Nigerians for their patience and resilience throughout the reform process, adding that the improved ratings would strengthen Nigeria’s ability to attract investments and access financing on more favourable terms.
