Nigeria’s Gross Domestic Product (GDP) growth rate in real terms grew by 3.46 percent in the third quarter (Q3) of 2024 on a year-on-year basis.
The Q3 GDP growth is 0.92 percentage points higher than the 2.54 percent recorded in Q3 2023, data released by the National Bureau of Statistics (NBS) on Monday has shown.
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Similarly, the Q3 GDP was higher by 0.27 percentage points relative to the 3.19 percent recorded in the second quarter (Q2) of 2024.
This reflects a higher growth rate when compared to the corresponding quarter of Q3 2023 and the preceding quarter, Q2 2024.
The major driver of the economy in the period under review is the services sector, which recorded a growth of 5.19 percent and contributed 53.58 percent to the aggregate GDP.
The economic activity in real terms for Q3 2024 stood at ₦20,115,766.93, which is higher than the rates recorded in the preceding Q2 2024, which stood at ₦18,285,019.24 million, and the corresponding quarter Q3 2023, which recorded ₦19,442,281.18 million.
This highlighted the increase in the production level in the quarter under review compared to the previous quarters of Q2 2024 and the corresponding quarter of Q3 2023.
In nominal terms, aggregate GDP stood at ₦ 71,131,091.07 million in Q3 2024, indicating a year-on-year nominal growth rate of 17.26 percent compared to the value of ₦ 60,658,600.37 million recorded in Q3 2023.
Similarly, the quarter under review is higher than the value of ₦60,930,000.58 million recorded in Q2 2024, the preceding quarter.
The major contributing economic activities in real terms in the quarter under review, Q3 2024, are Crop Production 26.51 percent, Trade 14.78 percent, Telecommunication 13.94 percent, Crude petroleum 5.57 percent, and Real Estate 5.43 per cent.
On a broad classification of the economic activities into Agriculture, Industry, and Services sectors based on growth, the Agricultural Sector grew by 1.14 percent in Q3 2024 in real terms, which is less than Q3 2023 which recorded 1.30 percent.
The industry sector grew by 2.18 percent in Q3 2024, which shows improvement compared to 0.46 percent recorded in Q3 2023, while the Services sector grew by 5.19 percent higher than 3.99 percent recorded in Q3 2023.
Analyses of the contributions of the broad economic sectors in the period under review show that Agriculture contributed 28.65 percent, industry 17.77 percent, and services 53.58 percent.
Agriculture and industry contributions were less than their contributions in Q3 2023 by 0.66 percent and 0.22 percent, while the services sector had the highest contribution to the GDP in Q3 2024, surpassing the service sector’s contribution in the corresponding quarter of 2023 by 0.88 percent percentage points.
Further disaggregation of the economic activities into oil and non-oil sectors shows that the oil GDP grew by 5.17 percent in Q3 2024, which shows improvement compared to -0.85 percent recorded in Q3 2023, but less than the previous quarter of Q2 2024, which recorded 10.15 percent.
Also, the oil sector accounted for 5.57 percent of the total GDP during the quarter under review.
The third quarter of 2024 recorded an average daily oil production of 1.47 million barrels per day (mbpd), higher than the daily average production of 1.45 mbpd recorded in the same quarter of 2023 by 0.02 mbpd and higher than the second quarter of 2024 production volume of 1.41 mbpd by 0.07 mbpd.
In real terms, the non-oil sector contributes 94.43 percent to the GDP in Q3 of 2024.
This shows a decrease on a year-on-year basis compared to the same period in 2023, which stood at 94.52 percent but higher than Q2 2024, which recorded 94.30 percent.
The economic performance of the non-oil sector in Q3 2024 is attributed to the growth recorded in some economic activities, like crop Production in the Agriculture sector, Trade, Telecommunication, and Real Estate in the Services Sector.