‘B’ rating: Nigeria gets positive outlook from Fitch as reforms, reserves boost credit picture

Global credit rating agency Fitch Ratings has revised Nigeria’s economic outlook from Stable to Positive while affirming its Long-Term Issuer Default Rating at ‘B’, citing ongoing reforms and stronger foreign exchange reserves.

According to THISDAY, the agency attributed the improvement to monetary and exchange rate reforms, declining inflation, increased oil production and expectations of policy continuity.

Nigeria’s gross foreign exchange reserves rose from $32 billion in April 2024 to $54.9 billion by September 25, 2026.

Fitch said, “Nigeria’s ratings reflect its large economy, a relatively developed and liquid domestic debt market, large oil and gas reserves and an improved macroeconomic policy framework.”

However, it warned that weak governance, insecurity, inflation and dependence on oil revenues remained significant challenges.

The agency projected average inflation of 15.4 per cent in 2026 and a current account surplus of 6.4 per cent of GDP.

Finance Minister Taiwo Oyedele welcomed the assessment, describing it as validation of the government’s economic reforms.

The Positive Outlook signals a possible future upgrade, although Nigeria’s credit rating remains unchanged.