Nigeria’s Long Road from Reform to Investor Confidence
Can Nigeria’s economy earn the world’s confidence while businesses struggle with high costs and households wait for relief? Festus Akanbi examines the path ahead. For a Nigerian manufacturer struggling with unreliable power,
Nigeria's economy is seeking to gain the world's confidence while businesses wrestle with high costs and households await relief, according to an examination by Festus Akanbi. A country's sovereign credit rating is a measure of its capacity and willingness to meet debt obligations, and it influences borrowing costs across the economy.
Recent upgrades by S&P Global Ratings to 'B' and the International Monetary Fund's projection of 4% economic growth in 2025 and 4.1% in 2026 signal progress, but Nigeria remains far from the coveted investment-grade status. The challenges include high inflation, a government deficit of 4.4% of GDP, and a depreciating naira, which can make dollar debt more expensive to repay.
DataPro's sixth International Rating Webinar, scheduled for October 8, aims to examine the path to investment-grade status, highlighting the importance of fiscal credibility, reliable non-oil revenue, and a diverse economy.
Written by urgent.news from This Day's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
