In its latest assessment, the global rating agency also lowered Nigeria's foreign currency senior unsecured debt ratings to Caa1 from B3 and changed the outlook to stable.
The rating firm indicates an expectation that the government's fiscal and debt position will continue to deteriorate is the main driver behind the rating downgrade. "Ultimately, the risk that a negative feedback loop sets in over the next couple of years between higher government borrowing needs and rising interest rates have intensified, exacerbating the policy trade-off between servicing debt and financing other key spending items".
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: