The Federal Government has welcomed Moody's Investors Service's upgrade of Nigeria's long-term foreign-currency issuer rating from Caa1 to B3 with a Stable Outlook, describing it as a significant vote of confidence in the country's economic direction.

According to a statement released by Presidential spokesperson Bayo Onanuga, the upgrade reflects growing international recognition of Nigeria's progress in stabilizing its macroeconomic environment, enhancing fiscal transparency, improving debt sustainability, and implementing market-oriented reforms under President Bola Tinubu's administration.

Moody's attributed the improved rating to "a more resilient fiscal position, stronger external accounts, and the government's demonstrated commitment to macroeconomic and structural reforms." The rating agency specifically acknowledged the government's efforts to unify the foreign exchange market, remove fuel subsidies, increase non-oil revenue, and restore credibility to monetary policy through the Central Bank of Nigeria's actions.

Tinubu Reaffirms Commitment to Economic Reforms

Responding to the development, President Tinubu reaffirmed his administration's resolve to maintain prudent economic management while fostering inclusive growth.

"This upgrade signals to global investors and partners that Nigeria is back on a path of responsibility, reform, and renewed credibility. It underscores our unwavering commitment to transparency, discipline, and prosperity for all Nigerians," the President stated.

The improved credit rating is expected to enhance Nigeria's access to international capital markets, potentially reducing borrowing costs and attracting foreign direct investment. These developments could further accelerate economic revitalization and job creation efforts in the country.

Sustaining Reform Momentum

The Federal Government has pledged to sustain the reform momentum and strengthen the resilience of the Nigerian economy. Ongoing efforts will focus on broadening the tax base, deepening the digital economy, boosting industrial productivity, and supporting vulnerable populations through targeted social protection programs.

"This positive rating reinforces global confidence in Nigeria's future and represents a milestone in the Administration's goal of restoring investor trust, unlocking economic potential, and securing long-term prosperity," Tinubu added.

The credit rating upgrade comes amid ongoing economic challenges in Nigeria, including high inflation and cost of living concerns, suggesting that international financial institutions are recognizing the potential long-term benefits of the current economic reform agenda despite short-term difficulties.