…As Non-Oil Sector Contributes 94.43%
Nigeria’s Gross Domestic Product (GDP) growth rate in real terms (Constant price) grew by 3.46% in the third quarter of 2024 on a year- on-year basis, which is 0.92% points higher than the 2.54% rate recorded in Q3 2023, the National Bureau of Statistics (NBS) reported on Monday.
The statistics agency in its ‘National Gross Domestic Product Q3 2024’ report published on its website also indicated that similarly, the Q3 2024 growth was higher by 0.27 percentage points relative to the 3.19% recorded in the second quarter (Q2) of 2024, representing a higher growth rate when compared to the corresponding quarter (Q3 2023) and the preceding quarter (Q2 2024).
It attributed the improved performance of the economy majorly to the Services sector, which recorded a growth of 5.19% and contributed 53.58% to the aggregate GDP.
The report reflected that economic activity in real terms for the quarter under review stood at N20,115,766.93 million, which is higher than the rates recorded in the preceding Q2 2024 which stood at N18,285,019.24 million, and the corresponding quarter Q3 2023 which stood at N19,442,281.18 million, highlighting the increase in the production level in the quarter under review compared to the previous quarters of Q2 2024 and the corresponding quarter of Q3 2023.
The NBS further clarified that in nominal terms (current price), aggregate GDP stood at N71,131,091.07 million in Q3 2024, indicating a year-on-year nominal growth rate of 17.26% compared to the value of N60,658,600.37 million recorded in Q3 2023.
Similarly, it added that in the quarter under review the aggregate GDP was higher than the value of N60,930,000.58 million recorded in the preceding quarter.
According to the statistics agency, the major contributing economic activities in real terms in the quarter under review are Crop Production, 26.51%; Trade, 14.78%; Telecommunication, 13.94%; Crude petroleum, 5.57%; and Real Estate, 5.43%.
On a broad classification of the economic activities into Agriculture, Industry, and Services sectors based on growth, the report’s data showed that Agricultural Sector grew by 1.14% in Q3 2024 in real terms, which is less than Q3 2023 which recorded 1.30%; industry grew by 2.18% in Q3 2024, which showed improvement over the 0.46% rate recorded in Q3 2023; while the Services sector grew by 5.19% higher than 3.99% recorded in Q3 2023.
Analysis of the contributions of the broad economic sectors in the period under review indicated that Agriculture contributed 28.65%, Industry 17.77%, and Services 53.58%, indicating that Agriculture and industry contributions were less than their contributions in Q3 2023 by 0.66% and 0.22%, while the Services sector had the highest contribution to the GDP in Q3 2024, surpassing the Service sector’s contribution in the corresponding quarter of 2023 by 0.88% percentage points.
A further disaggregation of the economic activities into oil and non-oil sectors showed that the oil GDP grew by 5.17% in Q3 2024, representing an improvement when compared to -0.85% recorded in Q3 2023, but less than the previous quarter’s 10.15%. Similarly, the oil sector accounted for 5.57% of the total GDP during the quarter under review.
The NBS further clarified: “The third quarter of 2024 recorded an average daily oil production of 1.47 million barrels per day (mbpd), higher than the daily average production of 1.45 mbpd recorded in the same quarter of 2023 by 0.02 mbpd and higher than the second quarter of 2024 production volume of 1.41 mbpd by 0.07 mbpd.
“In real terms, the non-oil sector contributes 94.43% to the GDP in Q3 of 2024. This shows a decrease on a year-on-year basis compared to the same period in 2023, which stood at 94.52% but higher than Q2 2024, which recorded 94.30%.
“The economic performance of the non-oil sector in Q3 2024 is attributed to the growth recorded in some economic activities, like crop Production in the Agriculture sector, Trade, Telecommunication, and Real Estate in the Services Sector”, the statistics agency added.
