KEY POINTS

• Nigeria says US backed security strike will not disrupt markets
• Government links security actions to long term economic stability
• Officials cite growth, easing inflation and stronger investor confidence

Nigeria’s Minister of Finance and Coordinating Minister for the Economy, Wale Edun, has moved to reassure investors that a recent joint security operation involving the United States will not destabilise financial markets, but will instead strengthen investor confidence in the economy.

In a statement issued on Sunday, Edun said the Christmas Day operation in Sokoto State was intelligence driven and narrowly targeted at terrorist groups threatening lives, communities and economic activity. He stressed that Nigeria remains stable and focused on growth.

The remarks followed comments by United States President Donald Trump, who announced the strikes on his Truth Social platform and described them as action against terrorist groups operating in northwest Nigeria. The comments initially unsettled Nigerian financial markets when the threat of military action first surfaced in November.

Security and economic stability

Edun said Nigeria is not at war with itself or any other country and described the operation as part of ongoing efforts to protect citizens and productive areas of the economy. He argued that security actions and economic stability are closely linked.

According to him, decisive action against security threats helps protect communities, safeguard investment and reinforce the conditions needed for sustainable growth. He added that authorities should see such operations as pro-growth, pro-investment measures rather than sources of uncertainty.

The minister noted that recent market sensitivity following earlier statements reflected short term sentiment rather than underlying weakness. He said the government remains committed to maintaining calm, predictable conditions for investors.

Markets, reforms and investor outlook

Edun pointed to recent economic data to support his assurances. He said Nigeria’s gross domestic product grew by 3.98 percent in the third quarter of 2025, following a stronger 4.23 percent expansion in the previous quarter. Inflation, he added, has declined for seven consecutive periods and is now below 15 percent.

He also cited recent credit rating upgrades from Moody’s, Fitch and Standard and Poor’s as independent validation of Nigeria’s reform efforts and fiscal discipline. Domestic and international debt markets, he said, remain stable and functional.

The minister acknowledged that markets reacted negatively in early November, when the naira weakened and equities dipped amid heightened geopolitical concerns. Bond yields also edged higher as offshore investors adopted a defensive stance.

Despite that episode, Edun said the government’s policy direction remains clear and consistent. He said Nigeria is focusing on consolidating recent gains, strengthening resilience, and building an inclusive, growth-oriented economy.

As markets reopen, he said investors can expect continuity in reforms, commitment to stability and a firm resolve to protect lives while securing long term prosperity.