Nigeria’s Gross Domestic Product (GDP) demonstrated resilience in the fourth quarter (Q4) of 2023, growing by 3.46%, according to data released by the National Bureau of Statistics (NBS).
Despite being slightly lower than the 3.52% recorded in the same period of 2022, this growth signifies a positive trajectory for the Nigerian economy amidst ongoing challenges.
Services Sector Leads Growth
The services sector emerged as the primary driver of growth, expanding by 3.98% and contributing 56.55% to the overall GDP.
The agriculture sector experienced growth, expanding by 2.10% compared to the same period in 2022. Additionally, the industry sector recorded a notable improvement, growing by 3.86%, contrasting the -0.94% contraction observed in Q4 2022.
On an annual basis, Nigeria’s GDP expanded by 2.74% in 2023 compared to 3.10% in the previous year, reflecting sustained but moderated growth. Sustaining and accelerating growth will require continued efforts to address structural bottlenecks, foster investment, and promote inclusive economic policies across sectors.
Nigeria’s Oil Sector Growth
During Q4 2023, Nigeria’s oil sector posted a real growth rate of 12.11% year-on-year, driven by a surge in average daily oil production to 1.55 million barrels per day (mbpd).
Despite challenges such as global market fluctuations and production constraints, the oil sector contributed 4.70% to the nation’s total real GDP.
Nigeria’s Non-Oil Sector
The non-oil sector sustained growth momentum, posting a 3.07% real growth rate in Q4 2023. This growth was primarily attributed to key industries including finance, telecommunications, agriculture, manufacturing, and construction. Accounting for 95.30% of the nation’s GDP in the same quarter, the non-oil sector continues to drive economic diversification efforts and reduce dependence on oil revenues.
