S&P Global Ratings upgraded Nigeria’s outlook from “stable” to “positive” revealing positive results from economic reforms led by President Bola Tinubu’s administration.
The rating agency announced the update on November 14, 2025, while affirming the country’s sovereign rating at “B-/B”.
The long-term “B-” rating indicates Nigeria’s current ability to meet its financial obligations, but also shows economic vulnerability and uncertainty. The short-term “B” rating signifies high risk, with current capacity to meet short-term debts.
According to S&P, “The monetary, economic, and fiscal reforms being implemented by Nigerian authorities will yield positive benefits over the medium term.”
The revision follows other recent assessments including Moody’s upgraded Nigeria by one-notch to “B3” in May, citing, showing improvements in external and fiscal fundamentals while Fitch maintained its “B” rating with a “stable” outlook last month.
Key reforms driving the growth include the 2023 removal of fuel subsidy and unification of foreign exchange windows, allowing market forces to determine the naira’s value.
If sustained, these reforms could support long-term economic expansion, despite implementation hurdles and oil price volatility.
Nigeria has recently tapped the debt market, raising $2.35 billion through a Eurobond issuance, oversubscribed by over 450%, indicating strong international demand.
Global stakeholders, including Dr. Ngozi Okonjo-Iweala, WTO director-general, have commended the administration’s reform drive, while stressing the need for accompanying social protection measures.
Speaking to the media after her meeting with the president in August 2025, she said,
“We think that the President and his team have worked hard to stabilise the economy. You cannot really improve an economy unless it is stable. So, he has to be given the credit for the stability of the economy. The reforms have been in the right direction.
“What is needed next is growth; we now need to grow the economy, and we need to put in social safety nets so that people who are feeling the pinch of the reforms can also have some support to weather the hardship. That’s the next step.
