Nigeria’s GDP expanded by 4.23% year-on-year in Q2 2025

The National Bureau of Statistics (NBS), in its GDP Report for the second quarter of 2025, revealed that Nigeria’s real GDP expanded by 4.23% year-on-year — a notable improvement from 3.48% in Q2 2024 and higher than the revised 3.13% recorded in Q1 2025. The country’s aggregate nominal GDP rose to ₦100.73 trillion, representing a 19.23% increase from ₦84.48 trillion during the same period last year.

The oil sector was the standout performer, recording impressive growth of 20.46%, a sharp turnaround from 1.87% in Q1 2025 and well above the 10.08% achieved in Q2 2024. This strong performance was driven by higher crude oil production, averaging 1.68 million barrels per day. Meanwhile, the non-oil sector maintained steady momentum, expanding by 3.64% in real terms, buoyed by key industries such as agriculture, telecommunications, real estate, financial services, trade, and construction.

Agriculture grew by 2.82%, up slightly from 2.60% in Q2 2024, while the industrial sector posted robust growth of 7.45% — nearly double the 3.72% recorded in the same quarter last year. The industrial sector’s contribution to total GDP rose to 17.31%, compared to 16.79% a year earlier. The services sector also demonstrated resilience, growing by 3.94% compared to 3.83% in Q2 2024.

This overall improvement reflects a combination of stronger oil output and continued stability in non-oil activities. However, the report cautions that the oil sector’s gains remain susceptible to volatility in global crude prices. Similarly, while the agricultural sector showed modest improvement, its growth rate of 2.82% still falls short of potential, posing challenges for food security, job creation, and inflation control.

To address these issues, the government must strengthen investment in the agricultural value chain by promoting mechanised farming, improving access to credit for smallholder farmers, and ensuring the availability of high-yield seedlings and technical support. These measures, if implemented effectively, could unlock the sector’s full potential and contribute more meaningfully to sustainable economic growth and national food security.