Nigeria’s GDP grows by 2.98% in Q1 of 2024
The National Bureau of Statistics (NBS) has reported that Nigeria’s Gross Domestic Product (GDP) experienced a growth of 2.98 percent in the first quarter of 2024. This represents a decrease of 0.48 percentage points compared to the growth rate of 3.46 percent recorded in the fourth quarter of 2023. However, it is worth noting that this growth rate is 0.67 percentage points higher than the 2.31 percent recorded in the first quarter of 2023.
When examining the different sectors, services accounted for 58.04 percent of the GDP in the first quarter of 2024, while the agricultural sector contributed 21.07 percent and the industrial sector contributed 20.89 percent. Furthermore, the non-oil sector played a significant role, contributing 93.62 percent to the GDP and experiencing a growth rate of 2.80 percent. On the other hand, the oil sector contributed 6.38 percent and grew by 5.70 percent.
It is worth mentioning that the International Monetary Fund (IMF) has revised Nigeria’s economic growth forecast for 2024, increasing it from 3.0 percent to 3.3 percent. This revision reflects the IMF’s confidence in Nigeria’s economic prospects. However, Nigeria’s Q1 2024 GDP growth rate falls slightly below the IMF’s projection.
To further stimulate economic expansion, the government should focus on implementing sectoral reforms that enhance the business environment and attract investment. Additionally, supporting farmers in adopting modern technology to improve agricultural productivity and investing in infrastructure to boost the industrial sector’s growth are crucial steps. Furthermore, investing in education and skill development is essential for empowering workers and promoting growth across all sectors.
