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May 24, 2024

Just in: Nigeria records 2.98% GDP growth in Q1’24

Just in: Nigeria records 2.98% GDP growth in Q1’24

By Elizabeth Adegbesan

Nigeria recorded a 2.98 percent growth in Gross Domestic Product, GDP, in the first quarter of the year (Q1’24).

This represents a 0.48 percentage point quarter -on-quarter decline in GDP growth when compared with 3.46 percent growth recorded in Q4’23.

The National Bureau of Statistics, NBS, disclosed this today in its Nigeria GDP report for Q1’24.

NBS said: “Nigeria’s GDP grew by 2.98 percent (year-on-year) in real terms in the first quarter of 2024.

“This growth rate is higher than the 2.31 percent recorded in the  first quarter of 2023 and lower than the fourth quarter of 2023 growth of 3.46 percent.”

According to the bureau,  the performance of the GDP in the first quarter of 2024

was driven mainly by the Services Sector, which recorded a growth of 4.32 percent and contributed 58.04 percent to the aggregate GDP.

“ The agriculture sector grew by 0.18 percent,from the growth of -0.90 percent recorded in the first quarter of 2023.

“The growth of the industry sector was 2.19 percent, an improvement from 0.31 percent  recorded in the first quarter of 2023.

“ In terms of share of  the GDP, the services sector contributed more to the aggregate GDP in Q1’24 compared to the corresponding Q1’23”, it added.

The Nigerian economy has been classified broadly into the oil and non-oil sectors.

On oil sector, NBS noted that the nation in Q1’24 recorded an average daily oil production of 1.57 million barrels per  day (mbpd), higher than the daily average production of 1.51. mbpd recorded in the same quarter of 2023 by 0.06 mbpd and higher than the fourth quarter of 2023 production volume of 1.55 mbpd by 0.02 mbpd.

It added: “The rea growth of the oil sector was 5.7 percent (year-on-year) in Q1’24, indicating an increase of 9.91 percentage points relative to the rate recorded in the corresponding quarter of 2023(4.21 percent).

“Growth decreased by 6.41 percentage points when compared to Q4’ 2023 which was 12.11 percent .

“On a quarter-on-quarter basis, the oil sector recorded a growth rate of 13.77 percent in Q1’ 24.

“The Oil sector contributed 6.38 percent to the total real GDP in Q12024, up from the figure recorded in the corresponding period of 2023 and up from the preceding quarter, where it contributed 6.21 percent and 4.70 percent respectively.”

On non-oil sector, NBS stated: “The non-oil sector grew by 2.8 percent in real terms during the reference quarter (Q1’24).

This rate was higher by 0.02 percentage points compared to the rate recorded in the same quarter of 2023 and 0.28 percentage points lower than the fourth quarter of 2023.

“This sector was driven in the first quarter of 2024 mainly by Financial and Insurance (Financial Institutions); Information and Communication (Telecommunications); Agriculture(Crop production); Trade; and Manufacturing (Food, Beverage, and Tobacco), accounting for positive GDP growth.

“In real terms, the non-oil sector contributed 93.62 percent to the nations GDP in the Q1’24, lower than the share recorded in the first quarter of 2023 which was 93.79 percent and lower than the fourth quarter of 2023 recorded as 95.3 percent.”