The electronic structure of nano-NiO was determined using resonant inelastic X-ray scattering (RIXS) spectroscopy. The nanosized NiO particles were reduced in situ, leading to the formation of metallic Ni in a single step. Time-resolved RIXS elucidated in real time the changes on the occupied and unoccupied electronic structure of the material, which are dramatically affected by the reduction process.