Nigeria has emerged as one of Africa’s biggest investment-risk improvers, rising four places to eighth in Bloomberg Economics’ 2026 Investment Risk-O-Meter.
The ranking, which assesses the relative investability of 19 African economies, places Nigeria ahead of Rwanda, Tanzania, Kenya and Namibia. Mauritius retained the top position, while South Africa, which led the ranking last year, fell one place amid weaker growth prospects.
Nigeria’s improvement was driven by stronger performance across three of the five indicators measured by Bloomberg Economics: economic strength, fiscal strength and external vulnerability.
The shift comes against the backdrop of President Bola Tinubu’s economic reforms since taking office in 2023. The administration has removed the petrol subsidy, liberalised the foreign-exchange market and introduced higher electricity tariffs for some consumers as part of efforts to reduce fiscal pressure, improve market efficiency and attract investment.
The reforms have also coincided with an improvement in economic growth. Nigeria’s GDP growth strengthened to 3.85% in 2025, while the economy expanded by 3.89% in the first quarter of 2026, according to figures cited in reporting on the Bloomberg assessment.
For investors, the improved ranking signals a changing perception of Nigeria’s macroeconomic environment. The country has also seen stronger external conditions, including improved foreign-exchange liquidity and higher reserves, helping to address some of the vulnerabilities that previously weighed on investor confidence.
However, the improved investment ranking does not mean Nigeria’s economic challenges have disappeared.
Higher public debt, infrastructure gaps, weak institutions and the continued pressure on households from elevated living costs remain significant constraints. Recent assessments have also stressed that improved macroeconomic stability has yet to fully translate into broad-based prosperity for Nigerian households.
That makes Nigeria’s next challenge less about implementing reforms and more about converting macroeconomic gains into stronger productivity, investment, jobs and lower costs for businesses and households.
For now, Bloomberg’s latest ranking provides another indication that Nigeria’s economic reform programme is beginning to change the country’s position in the eyes of investors.
