Nigeria’s economy recorded a 3.46% year-on-year growth in Gross Domestic Product (GDP) in real terms during the third quarter of 2024, according to the National Bureau of Statistics (NBS). This represents a notable increase from the 2.54% growth reported in the same period in 2023 and an improvement from the 3.19% recorded in the second quarter of 2024.

The growth was primarily driven by the Services sector, which expanded by 5.19% in Q3 2024, accounting for 53.58% of the total GDP. This underscores the sector’s critical role in sustaining Nigeria’s economic performance.

Agriculture: The sector experienced modest growth of 1.14%, slightly below the 1.30% recorded in Q3 2023.

Industry: The sector posted a significant improvement, growing by 2.18%, compared to a marginal 0.46% in Q3 2023.

In nominal terms, the aggregate GDP stood at ₦71.13 trillion, reflecting a 17.26% year-on-year increase from the ₦60.66 trillion recorded in the third quarter of 2023.

The oil sector demonstrated a year-on-year real growth of 5.17% in Q3 2024, a recovery from the -0.85% contraction observed in the same period last year. However, this was a decline from the 10.15% growth recorded in Q2 2024.

Daily Oil Production: Average daily crude oil output rose to 1.47 million barrels per day (mbpd), up from 1.45 mbpd in Q3 2023 and 1.41 mbpd in Q2 2024.

Contribution to GDP: The oil sector accounted for 5.57% of the total real GDP, slightly higher than the 5.48% reported in Q3 2023 but lower than the 5.70% recorded in the previous quarter.

The non-oil sector grew by 3.37% in real terms, surpassing the 2.75% growth recorded in Q3 2023 and the 2.80% in Q2 2024. Key contributors included financial services, telecommunications, crop production, road transport, trade, and construction.

The sector’s contribution to the GDP stood at 94.43%, slightly down from 94.52% in Q3 2023 but above the 94.30% observed in Q2 2024.

The federal government announced plans to rebase Nigeria’s Consumer Price Index (CPI) and GDP by 2025 to enhance economic policy formulation and boost investor confidence. The rebasing initiative, spearheaded by the Ministry of Finance and the Statistician General of the Federation, Adeyemi Adeniran, aims to provide a clearer depiction of the economy, promoting transparency and attracting investments.

The sustained GDP growth in Q3 2024 reflects Nigeria’s resilience and the increasing significance of its Services and non-oil sectors in driving economic recovery and development.