Nigeria’s Gross Domestic Product, GDP, grew by 3.46 percent year-on-year in real terms during the third quarter of 2024.
This is according to the latest data from the National Bureau of Statistics, NBS.
This growth is an improvement over the 2.54 percent recorded in the third quarter of 2023 and the 3.19 percent growth in the second quarter of 2024.
The NBS attributed the strong GDP performance in the third quarter to the services sector, which expanded by 5.19 percent and accounted for 53.58 percent of the total GDP.
The agriculture sector grew by 1.14 percent, a slight decline from the 1.30 percent growth observed in the third quarter of 2023.
The industrial sector experienced a growth of 2.18 percent, marking a significant improvement from the 0.46 percent recorded in the same quarter of 2023.
In terms of GDP composition, the services sector made a larger contribution to the total GDP in the third quarter of 2024 compared to the same period in 2023.
The aggregate GDP at a basic price for the quarter stood at N71.1 million in nominal terms.
“This performance is higher when compared to the third quarter of 2023 which recorded aggregate GDP of N60.6 million, indicating a year-on-year nominal growth of 17.26 stated,” the statistics bureau stated.
The Nigerian economy is primarily divided into two sectors: oil and non-oil.
In the third quarter of 2024, the non-oil sector experienced a real growth rate of 3.37 percent. This performance represents a 0.62 percentage point increase compared to the same quarter in 2023, which recorded a growth of 2.75 percent, and a slight rise from the 2.80 percent recorded in the second quarter of 2024.
Key drivers of the non-oil sector’s growth in the third quarter of 2024 included financial and insurance services (particularly financial institutions), information and communication (telecommunications), agriculture (crop production), transportation and storage (road transport), trade, and construction. These sectors collectively contributed positively to GDP growth.
The non-oil sector contributed 94.43 percent to Nigeria’s total GDP in real terms during the third quarter of 2024. This share was marginally lower than the 94.52 percent contribution recorded in the third quarter of 2023 but slightly higher than the 94.30 percent share in the second quarter of 2024.
Meanwhile, the oil sector saw a real growth of 5.17 percent year-on-year in the third quarter of 2024, a significant improvement of 6.02 percentage points from the -0.85 percent recorded in the same period in 2023. However, this growth marked a decrease of 4.98 percentage points compared to the 10.15 percent growth in the second quarter of 2024.
On a quarter-on-quarter basis, the oil sector grew by 7.39 percent in the third quarter of 2024. It contributed 5.57 percent to the overall real GDP for the quarter, slightly higher than the 5.48 percent contribution in the third quarter of 2023, but lower than the 5.70 percent contribution in the preceding quarter.
The country’s average daily oil production in the third quarter of 2024 was 1.47 million barrels per day, mbpd, which exceeded the daily average of 1.45 mbpd recorded in the third quarter of 2023 by 0.02 mbpd, and surpassed second-quarter 2024 production by 0.07 mbpd, which stood at 1.41 mbpd.
Comments