Nigeria’s economic outlook has been upgraded to Positive from Stable by S&P Global Ratings, a move welcomed by the country’s economic managers as a confirmation of the effectiveness of President Bola Ahmed Tinubu’s reforms. The upgrade is seen as a significant endorsement of Nigeria’s economic direction, following similar upgrades by Moody’s and Fitch earlier in the year.
According to Minister of Finance and Coordinating Minister of the Economy, Wale Edun, the S&P upgrade completes a trio of favorable assessments for Nigeria in 2025. Edun noted that the alignment of the three major ratings agencies reflects tremendous confidence in the direction of the country’s fiscal, monetary, and structural reforms, adding that the upgrade testifies to the renewed strength and stability of the economy.
Central Bank Governor Olayemi Cardoso also praised the revision, attributing it to policies that have stabilized the macroeconomic environment. Cardoso said the CBN has brought stability to the economy and become a beacon of hope.
S&P Global Ratings cited improving economic indicators and sustained reform momentum as reasons for the revised outlook, noting that broad‑based structural indicators are beginning to improve after reforms have been maintained since mid‑2023. President Tinubu has implemented major reforms, including petrol‑subsidy removal and exchange‑rate unification, aimed at boosting investor confidence and unlocking growth. Although these measures have triggered inflation and a cost‑of‑living squeeze, key markers such as external reserves have strengthened, reaching $43.4 billion last week.
S&P expects the implementation of new tax laws in 2026 to further improve fiscal efficiency and strengthen government revenue. This upgrade is the third positive assessment of Nigeria’s economy this year, following revisions by Fitch and Moody’s in April and May 2025, respectively. The growing consensus among global rating agencies signals that Nigeria’s reforms are gaining traction, and the country’s economic managers view the upgrade as confirmation that their efforts are yielding results, anticipating the positive trend to continue with further reforms.
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