Nigeria’s Gross Domestic Product (GDP) expanded by 3.46% in real terms during the third quarter (Q3) of 2024, marking a year-on-year increase, according to the National Bureau of Statistics (NBS). This growth reflects a significant improvement from the 2.54% recorded in Q3 2023 and a slight uptick from the 3.19% recorded in the second quarter (Q2) of 2024.
Statistician General of the Federation, Prince Adeyemi Adeniran Adedeji, noted that this growth highlights steady economic progress, with the Services sector playing a pivotal role. The sector grew by 5.19% and contributed 53.58% to the overall GDP during the quarter.
In real terms, Nigeria’s GDP for Q3 2024 stood at ₦20.1 trillion, surpassing both the ₦18.2 trillion recorded in Q2 2024 and the ₦19.4 trillion recorded in Q3 2023. Nominal GDP, which accounts for current prices, reached ₦71.1 trillion, showing a robust year-on-year growth rate of 17.26% compared to ₦60.7 trillion in Q3 2023.
Sectoral Contributions
Breaking down the GDP by sectors, agriculture, industry, and services displayed varied performances:
- Agriculture: Grew by 1.14% in real terms, a slight decline from the 1.30% recorded in Q3 2023. The sector contributed 28.65% to the overall GDP.
- Industry: Improved significantly, growing by 2.18% compared to 0.46% in Q3 2023, with a 17.77% contribution to GDP.
- Services: Led the economic growth with a 5.19% increase, up from 3.99% in Q3 2023, contributing the highest share of 53.58% to GDP.
Oil vs. Non-Oil Sectors
The oil sector recorded a growth of 5.17% in Q3 2024, a notable rebound from the -0.85% contraction in Q3 2023. However, it fell short of the 10.15% growth reported in Q2 2024. The oil sector accounted for 5.57% of the total GDP, supported by an average daily oil production of 1.47 million barrels per day (mbpd), an increase from 1.45 mbpd in Q3 2023 and 1.41 mbpd in Q2 2024.
The non-oil sector, contributing 94.43% to the GDP, demonstrated strong performance driven by activities in crop production, trade, telecommunications, and real estate. However, its share slightly declined from 94.52% in Q3 2023 but improved from the 94.30% recorded in Q2 2024.
Economic Outlook
The steady growth in Nigeria’s GDP highlights resilience in key sectors of the economy, particularly services. As the government continues to implement policies aimed at diversifying the economy and boosting productivity, sustained growth in agriculture, industry, and services will be critical for long-term economic stability.
