FG Challenges Global Credit Rating Agencies Over High Borrowing Costs

The Federal Government has criticised international credit rating agencies for allegedly failing to adequately reflect Nigeria’s economic reforms and improving financial indicators, arguing that their assessments contribute to the high cost of borrowing for the country and other African nations.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, raised the concern during a meeting with African Development Bank (AfDB) President, Sidi Ould Tah, on the sidelines of the 2026 IMF and World Bank Group Annual Meetings in Bangkok, Thailand.

Oyedele argued that credit ratings do not always account for improvements in economic fundamentals and reform implementation, potentially increasing the interest rates countries pay when seeking loans from international markets. In response, Ould Tah disclosed that the AfDB was developing a support mechanism to help African governments present credible economic data and challenge assessments they consider inaccurate.

Beyond the rating concerns, Nigeria and the AfDB agreed to conduct a joint technical review of the bank’s ongoing projects in the country. The exercise is expected to identify implementation challenges, accelerate project delivery and align development financing with the Federal Government’s priorities.

Oyedele also reaffirmed Nigeria’s commitment to its relationship with the AfDB, calling for greater development financing and practical economic benefits. Both parties discussed measures to strengthen African financial integration, expand local-currency transactions and attract private investment by reducing financing risks.