UK-Nigeria Economic Ties Deepening with rising CBN credibility

Standing before a room filled with policymakers, financiers and investors, UK High Commissioner Jonny Baxter opened with a warm nod to his host country. "Since we're halfway between the UK and Nigeria, I'm going to start off with please if you'll let me stand on existing protocols. A very Nigerian start," he said, drawing laughter from the audience and setting the tone for a candid, forward‑looking conversation.

Baxter's first message was one of recognition. "My first comment is just to congratulate the Central Bank of Nigeria (CBN) and the CBN team on getting so many policy makers, financial institutions, and investors here in one place," he said. The turnout, he noted, reflected both the depth of expertise in the room and the growing international interest in Nigeria's economic trajectory.

"I think that level of engagement shows two things," Baxter continued. "It shows the level of interest in Nigeria, but importantly, it also shows the credibility of the CBN in getting that level of interest into this room."

The timing, he stressed, could not be more significant. Nigeria is undertaking "crucial reforms and significant economic adjustment," while simultaneously preparing for a historic diplomatic milestone. "Later this evening and then tomorrow morning, his excellency the president will be hosted by his majesty the king in Nigeria's first state visit for 30 to seven years," Baxter said. "Something indeed to get excited about and something for all of us to celebrate."

For the UK, he said the visit presented an opportunity to spotlight a relationship built on trade, investment and deep people‑to‑people ties. "This relationship is a close one and an important one," Baxter said. "And one of the things that we want to use this visit to highlight is the strength of the economic relationship between our two countries."

He pointed to London's central role in global capital flows and the UK's position as Nigeria's leading source of foreign capital. "The UK remains the largest single source of foreign capital into Nigeria, accounting for roughly half of total capital inflows in recent months," he noted. "This fact makes London a natural place for this conversation. Both the UK and Nigeria have a shared interest in macroeconomic stability and economic transformation driven by private sector investment."

Baxter praised Nigeria's reform momentum, saying, "The Nigerian government has undertaken significant and successful macroeconomic reforms over the past two years aimed at restoring stability and rebuilding investor confidence." Markets, he added, are beginning to respond, citing "improved credit ratings and two Eurobond issues."

Continuing he emphasised that "as these reforms work their way through, investors will be closely watching several areas, including the continued stabilization of the foreign exchange market, the strength of the banking system, and the broader trajectory of macroeconomic policy. But encouragingly, Nigeria has seen a strong rebound in capital close with more than $16 billion recorded in the first nine months of 2025."

But he also harped on the need to convert renewed interest into long‑term investment. "The next phase of Nigeria's performance story has to be about converting the renewed investor interest into sustained long-term investment across the economy."

Events like the Africa Capital Forum, he said, play a vital role. "While those reforms are necessary, indeed essential, building confidence is what will make the difference in the end. And events like this are also part of that process of building confidence."

As the session closed, Baxter offered a clear message of support: "You can be confident that the British government is supportive of what you are doing here and back in Nigeria. And we very much hope that UK commercial actors will see the opportunity in Nigeria and further develop this into well-established economic and commercial relationships."