FG Applauds S&P Upgrade Of Nigeria’s Credit Rating

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 fresh sign of growing global confidence in the country’s economic reforms.

The government said the latest rating action follows similar positive assessments by Fitch Ratings and Moody’s Ratings earlier in 2025.

In a statement by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, the Federal Government said the upgrades reflect increasing international confidence in Nigeria’s economic reform direction, policy consistency and medium-term growth outlook.

The government stated that the assessments by the global rating agencies showed that reforms introduced under President Bola Ahmed Tinubu were beginning to yield positive results.

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According to the statement, S&P cited improvements in Nigeria’s external position, stronger balance of payments, increased crude oil production, growing domestic refining and export capacity, as well as continued implementation of macroeconomic reforms, including foreign exchange market liberalisation.

The government added that the rating agency also acknowledged ongoing fiscal reforms targeted at expanding the tax base, improving public revenue generation, strengthening fiscal transparency and enhancing debt sustainability.

It noted that Nigeria’s debt-to-revenue ratio has improved significantly since 2023 and is expected 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 said.

The Federal Government reiterated its commitment to prudent fiscal management, macroeconomic stability and structural reforms aimed at promoting inclusive and sustainable economic growth.

It also maintained its opposition to the return of fuel subsidies, arguing that such subsidies previously created fiscal distortions, encouraged smuggling, weakened foreign exchange liquidity and diverted public funds from key national priorities.

“We remain committed to a market-driven economy anchored on transparency, competition, and effective regulatory oversight,” the statement added.

The government further assured investors and businesses that it would continue to support policies that promote free enterprise, protect private investment and create a stable business environment.

While describing the ratings upgrades as encouraging, the government acknowledged that significant challenges still remain, including inflationary pressures, food security concerns and the need to create more jobs.

It stated that the Federal, state and local governments would continue implementing reforms “with discipline, pragmatism, and compassion” while engaging citizens and stakeholders across the country.

The government also expressed appreciation to Nigerians for their patience and support during the reform process, noting that the improved outlook from global rating agencies would strengthen Nigeria’s ability to attract investments and secure financing on more favourable terms