Minister says Moody’s downgrade rating a surprise
Nigeria’s Finance Minister Zainab Ahmed has rejected Moody’s downgrade rating of its bonds last week.
Moody’s downgraded Nigeria last week to Caa1 from B3, saying the government’s fiscal and debt position was expected to keep deteriorating, an announcement that sent Nigeria’s dollar-bond and currency forwards tumbling.
However, Ahmed told reporters in Abuja on Thursday that she disagreed with Moody’s downgrade rating, describing it as a “surprise” downgrade of the country’s credit rating, insisting the government was already addressing the agency’s concerns.
- Advertisement -
“Moody’s downgrade came as a surprise to us because we had presented all the work that we have been doing to stablise the economy,” the minister said.
“But these are external rating agencies that don’t have the full understanding of what is happening in our domestic environment.”
She said she expected S&P’s rating, due on Friday, would be more positive.
“S&P’s assessment is not the same as Moody’s. They have come out with a much better assessment,” she said.