Nigeria has improved its ranking in Africa's investment landscape, rising four places to eighth position in the 2026 Bloomberg Economics Investment Risk-O-Meter. This climb is attributed to the economic reforms implemented by President Bola Tinubu, which have enhanced the country's attractiveness to investors. The Bloomberg report assessed 19 African economies based on five indicators: economic strength, fiscal strength, external vulnerability, and others.
According to the report, Nigeria overtook Rwanda, Tanzania, Kenya, and Namibia in the ranking. The country's improvement was driven by stronger performance in three of the five indicators used in the assessment: economic strength, fiscal strength, and external vulnerability. This development positions Nigeria among the biggest gainers on the continent despite ongoing concerns about the country's high public debt, cost of living, inflation, infrastructure deficit, and foreign exchange pressures.
Mauritius emerged as the most investable African market in the latest ranking, while Botswana fell two places. South Africa, which topped the ranking in the previous edition, also dropped one place following a weaker economic growth outlook. Nigeria's improved position comes more than three years after Tinubu assumed office and embarked on a series of major economic reforms aimed at restructuring the country's fiscal and monetary environment.
The reforms implemented by the Tinubu administration have sought to address some of the constraints that have hindered Nigeria's ability to attract sufficient foreign capital. These constraints include concerns over exchange-rate instability, policy uncertainty, weak infrastructure, insecurity, and limited fiscal space. Significant measures included the removal of the petrol subsidy, reforms to the foreign exchange market, and changes to electricity tariffs.
Despite the adjustment pains associated with these reforms, Nigeria's economy has continued to expand. Real Gross Domestic Product growth rose from 2.54 per cent in the third quarter of 2023 to 3.46 per cent in the fourth quarter of that year. The economy subsequently grew by an average of 3.19 per cent in 2024 before accelerating to 3.85 per cent in 2025.
Nigeria's improved position in the Bloomberg ranking, however, comes against the backdrop of a substantial increase in public debt. Data from the Debt Management Office showed that Nigeria's total public debt stood at N87.38tn as of June 30, 2023. By December 31, 2025, the figure had risen to N159.28tn, representing an increase of N71.90tn, or about 82.3 per cent, in two and a half years.
The development is significant for a country that has struggled for years to attract sufficient foreign capital. Nigeria's rise in the Bloomberg ranking marks an improvement in its relative position among African investment destinations, even as investors continue to monitor the sustainability of its reforms, debt burden, and economic growth.
Key points
- Nigeria rose four places to eighth in the 2026 Bloomberg Economics Investment Risk-O-Meter.
- The country's improvement was driven by stronger performance in economic strength, fiscal strength, and external vulnerability.
- Nigeria's public debt increased by 82.3 per cent to N159.28tn in two and a half years.
