President Bola Tinubu's economic reforms have propelled Nigeria to the top of Africa's climb in Bloomberg Economics' latest ranking of the continent's most investable markets. Nigeria rose four places to eighth position in the 2026 Bloomberg Investment Risk-O-Meter, overtaking Rwanda, Tanzania, Kenya, and Namibia as its relative investment outlook improved. This significant rise reflects stronger performance across three of the five indicators Bloomberg uses to assess investment risk: economic strength, fiscal strength, and external vulnerability.
The ranking provides a measure of how African economies compare in terms of their attractiveness and risks to investors, making Nigeria's rise significant for a country that has spent the past few years implementing some of its most consequential economic reforms in decades. Since taking office in May 2023, Tinubu's administration has removed the petrol subsidy and overhauled the foreign exchange market, policies that initially triggered significant inflationary and currency pressures but were designed to address longstanding distortions in the economy.
The reforms have also been accompanied by efforts to improve government revenue, strengthen fiscal management, and attract capital into key sectors of the economy. Nigeria's improved position comes as economic growth has remained positive despite the adjustment costs associated with the reforms. The economy grew to the fastest pace in five years, at 4.43 per cent year-on-year in the second quarter of 2026, according to the National Bureau of Statistics, supporting Bloomberg's assessment of an improvement in the country's economic strength.
However, the rise in the ranking comes alongside a substantial increase in Nigeria's public debt. Data from the Debt Management Office showed total public debt at N159.28 trillion ($111.9 billion) at the end of 2025, up from N87.38 trillion ($61.4 billion) in June 2023. The increase reflected new borrowing, exchange-rate effects, and the securitisation of outstanding obligations. Despite the rise in debt, Nigeria's improved fiscal-strength score suggests that investors are increasingly assessing the country not only through the size of its liabilities but also through changes in government revenue, fiscal reforms, and the broader direction of public finances.
The improvement in external vulnerability is also important for foreign investors, given Nigeria's history of foreign-exchange shortages and restrictions that previously made it difficult for businesses to repatriate capital and access dollars. The Central Bank of Nigeria's shift towards a more market-driven foreign exchange regime has been central to the administration's reform programme. This change has helped alleviate some of the pressure on the foreign exchange market and has contributed to Nigeria's improved ranking.
Nigeria's four-place rise puts it ahead of Rwanda, Tanzania, Kenya, and Namibia in Bloomberg's latest assessment. The movement is notable because Kenya, Rwanda, and Tanzania have increasingly positioned themselves as preferred destinations for international investors seeking exposure to East Africa, while Namibia has benefited from its relatively stable macroeconomic environment and emerging energy opportunities. Nigeria's improved ranking therefore strengthens its position in the competition for foreign capital on the continent.
Mauritius retained the top position in Bloomberg's ranking, while South Africa dropped one place amid concerns over its economic growth outlook. Botswana also fell two places. For Nigeria, the ranking comes at a time when the government is seeking to convert macroeconomic reforms into stronger investment and economic growth. The government will likely build on this momentum to attract more foreign investment and drive economic growth in the coming years.
Key points
- Nigeria rose four places to eighth position in the 2026 Bloomberg Investment Risk-O-Meter.
- The country's improved ranking reflects stronger performance across three of the five indicators Bloomberg uses to assess investment risk.
- Nigeria's improved position comes as economic growth has remained positive despite the adjustment costs associated with the reforms.
