Nigeria’s GDP grew by 3.19% in Q2 2024, says NBS

The National Bureau of Statistics (NBS) says Nigeria’s annual gross domestic product (GDP) grew by 3.19 percent in the second quarter (Q2) of 2024.

The NBS, in the GDP report released on Monday, said the growth rate is higher than the 2.51 percent recorded in Q2 2023 and 2.98 percent in Q1 2024.

The bureau said the industry and services sectors “contributed more to the aggregate GDP in the second quarter of 2024 compared to the corresponding quarter of 2023”.

“The performance of the GDP in the second quarter of 2024 was driven mainly by the Services sector, which recorded a growth of 3.79% and contributed 58.76% to the aggregate GDP,” NBS said.

“The agriculture sector grew by 1.41%, from the growth of 1.50% recorded in the second quarter of 2023. The growth of the industry sector was 3.53%, an improvement from -1.94% recorded in the second quarter of 2023.”

NBS said the nominal GDP for Q2 2024 stood at N60.93 trillion while the real GDP was N18.29 trillion.

Nominal GDP and real GDP both quantify the total value of all goods produced in a country in a year. However, real GDP is adjusted for inflation, while nominal GDP is not.

“In the quarter under review, aggregate GDP at basic price stood at N60,930,000.58 million in nominal terms,” the bureau said.

“This performance is higher when compared to the second quarter of 2023 which recorded aggregate GDP of N52,103,927.13 million, indicating a year-on-year nominal growth of 16.94%.”

OIL SECTOR VS NON-OIL SECTOR

The report also said Nigeria recorded an average daily oil production of 1.41 million barrels per day (bpd) in Q2 of 2024.

According to the bureau, this is 0.16 million bpd lower than the daily average of 1.57 million bpd recorded in Q1 of 2024 and 0.19 mpdp lower than 1.22 million barrels recorded in Q2 2023.

On the other hand, the agency said the non-oil sector remained at 2.80 percent in the quarter under review.

“The rate was lower by 0.78% points compared to the rate recorded in the same quarter of 2023 which was 3.58% and relatively same with the 2.80% recorded in the first quarter of 2024,” NBS said.

“This sector was driven in the second 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 bureau said the non-oil sector contributed 94.30 percent to the nation’s GDP in the Q2 of 2024 — lower than the 94.66 percent recorded in Q2 of 2023, but higher than 93.62 percent in Q1 of 2024.

The NBS report comes barely 24 hours after Ngozi Okonjo-Iweala, the director-general of the World Trade Organisation (WTO), said the average growth rate of Nigeria’s GDP has been steadily declining since 2014.