Nigeria’s Economic Outlook Strengthens as S&P Upgrades Rating to Positive

S&P Global Ratings has upgraded Nigeria’s outlook from stable to positive, reflecting the progress made through ongoing economic reforms. The agency maintained the country’s B minus and B ratings but noted that Nigeria is now showing better fiscal discipline, stronger monetary direction, and improving external indicators.

In a Facebook post by the personal assistant on special duties to the president,Kamorudeen Yusuf, Since mid 2023, reforms such as the removal of fuel subsidy, exchange rate unification, enhanced revenue collection, and increased oil production have placed the economy on a more stable path. The commissioning of the Dangote refinery and efforts to curb oil theft have further boosted confidence.

S&P has raised Nigeria’s growth projection to an average of 3.7 percent between 2025 and 2028 and expects inflation to slow steadily. Foreign reserves have strengthened and a more stable exchange rate is helping attract portfolio inflows and remittances.

However, the agency warns that risks remain. Rising fiscal pressure, high debt service costs, or reduced reform momentum could slow progress. A further upgrade may happen within twelve months if current gains become more solid and economic performance surpasses expectations.

S&P also highlights improvements in tax administration, ongoing refinery rehabilitation, and stronger non oil growth as reasons for optimism. Even with structural challenges like low GDP per capita and persistent inflation, Nigeria’s trajectory is moving in a more positive direction.

These positive signals reflect the steady and decisive leadership of President Bola Ahmed Tinubu, whose commitment to reform, economic stability, and national renewal continues to inspire confidence among global institutions and investors. His policies are shaping a stronger foundation for sustainable growth and a more resilient future for Nigeria.