Nigeria’s fiscal and foreign exchange reforms that improved external reserves, increased FX liquidity, and strengthened confidence in the economy have prompted an upgrade of the country’s sovereign credit rating, among other economic gains, ARINZE NWAFOR writes
Nigeria’s ongoing economic and financial sector reforms have received renewed international recognition following the recent decision by S&P Global Ratings to upgrade the country’s long-term foreign and local currency sovereign credit ratings from ‘B-’ to ‘B’, while maintaining a stable outlook.
On Saturday, PUNCH Online reported that S&P Global Ratings upgraded Nigeria’s long-term foreign and local currency sovereign credit ratings to “B” from “B-”, citing improvements in the country’s macroeconomic profile, external position, and ongoing economic reforms.
The report stated that the US-based global ratings agency announced the upgrade on Friday while affirming Nigeria’s short-term ratings at “B” with a stable outlook.
According to S&P, higher oil production and prices, increased domestic refining capacity, and the liberalisation of the foreign exchange market in 2023 have strengthened Nigeria’s economic growth and balance of payments position.
