Fitch affirms Nigeria’s ‘B-’ rating with positive outlook

​​​​​​​By Ovunc Kutlu

ISTANBUL (AA) - Fitch Ratings said Friday it affirmed Nigeria's long-term foreign currency issuer default rating at 'B-' with a positive outlook.

The rating agency said Nigeria's rating is supported by the country's large economy, developed and liquid domestic debt market and large oil and natural gas reserves.

Those factors, however, are balanced against weak governance indicators, high hydrocarbon dependence, weak net foreign exchange reserves, high inflation, ongoing security challenges and low non-oil revenue.

Fitch expects crude oil production to increase in 2024-2026, averaging 1.4 million barrels per day, from 1.23 million in 2023, due to improved onshore surveillance.