Nigeria leads Africa investability gains

Nigeria has emerged as the biggest climber among major African economies in Bloomberg Economics’ 2026 Investment Risk-O-Meter, rising four places to eighth position on the back of improved economic and fiscal fundamentals.

The latest scorecard released yesterday, which assesses the relative investability of 19 African economies, ranked Mauritius first, while Nigeria overtook Rwanda, Tanzania, Kenya and Namibia to secure the eighth position.

Bloomberg said Nigeria’s improved ranking reflected gains in three of the five metrics assessed by the gauge – economic strength, fiscal strength and external vulnerability.

“The continent’s biggest oil producer and refiner rose four places to eighth in the 2026 Bloomberg Economics Investment Risk-O-Meter, overtaking Rwanda, Tanzania, Kenya and Namibia as it improved in three of the five metrics assessed by the gauge – economic strength, fiscal strength and external vulnerability,” Bloomberg said.

The development comes amid ongoing economic reforms by the Federal Government aimed at tackling longstanding fiscal, foreign exchange and power-sector challenges.

Nigeria’s improved standing follows a series of policy changes introduced since President Bola Tinubu assumed office in 2023, including the removal of the petrol subsidy, liberalisation of the foreign exchange market and the introduction of electricity tariffs aimed at reducing losses in the power sector.

The reforms, though initially accompanied by higher costs and significant pressure on businesses and households, have increasingly been viewed by investors as measures aimed at restoring macroeconomic stability and improving the operating environment.

Nigeria’s gain contrasts with weaker performances by some other major African economies. Botswana fell two places, while South Africa, which topped the ranking last year, dropped one spot, partly due to weaker economic-growth outlooks.

Mauritius now ranks first for relative investability among the 19 economies assessed, underscoring its continued strength across key investment-risk indicators.

Nigeria’s latest ranking marks a significant improvement in its relative investment position on the continent and could strengthen investor confidence if the reform momentum is sustained and translated into stronger growth, improved fiscal outcomes and greater macroeconomic stability.