The Federal Government has welcomed Nigeria’s reclassification by global index provider FTSE Russell from “Unclassified” to “Frontier Market” status, describing the development as a major validation of the country’s ongoing economic and capital market reforms.
The reclassification will take effect from the opening of trading on Monday, September 21, 2026.
The Federal Ministry of Finance, in a statement signed by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the development mark Nigeria’s return to the global Frontier Market universe nearly three years after the country was excluded in September 2023.
Nigeria had been removed from the FTSE Russell index following persistent challenges with capital repatriation and foreign exchange execution, which made the market difficult for international investors to access.
According to the Ministry, the latest decision followed sustained improvements in foreign exchange liquidity, capital repatriation and overall market accessibility.
It said the reclassification reflected the cumulative impact of the Federal Government’s macroeconomic and structural reform programme and sends a positive signal to international investors about the direction of Nigeria’s economy.
“The reclassification is an important validation of Nigeria’s reform trajectory and a foundation for the next phase of the country’s capital market development,” the Ministry said.
It added that the development represents “a meaningful signal to global capital that our market is open, orderly and improving.”
The government, however, stressed that the return to Frontier Market status is a milestone rather than the final destination, expressing its ambition to build a deeper, more liquid and competitive capital market capable of attaining Emerging Market status in the near term.
The Ministry commended the Securities and Exchange Commission, Central Bank of Nigeria, Nigerian Exchange Group, Central Securities Clearing System, capital market operators and other stakeholders for their collaboration in achieving the reclassification.
It noted that their efforts in regulatory reforms, modernisation of market infrastructure and engagement with investors had been instrumental in restoring Nigeria’s standing among global index providers.
Looking ahead, the Federal Government said it would continue working with market regulators and institutions to deepen market liquidity, broaden participation and strengthen investor protection.
It said the medium-term objective is to position Nigeria for progression from Frontier Market to Emerging Market status.
The Ministry also reaffirmed its commitment to policies that would enhance the depth, transparency and global competitiveness of the Nigerian capital market as a key component of the country’s economic transformation agenda.
