Nigeria GDP – Fifth Consecutive Quarter of Growth Since Last Recession
The Nigeria Bureau of Statistics recently released GDP results for the fourth quarter of 2021, revealing that the economy grew by 3.98% YoY (5bps lower than the 4.03% recorded Q3 2021). We highlight that this is the fifth consecutive quarter growth following the negative growth recorded in the third and fourth quarters of 2020, respectively.
The non-oil sector, which grew by 4.73% remained the major driver for the overall growth, we highlight that the expansion was slower relative to the previous quarter; 0.71% lower than the 5.44% YoY recorded in Q3 2021. The growth was propelled mainly by expansions in Telecommunication (Information & Technology, Trade, Financial Institutions (Financial and Insurance), and Crop Production (Agriculture).
According to the report, the non-oil sector contributed 94.13% to Nigeria’s GDP (1.62ppts higher than 92.51% contribution in the previous quarter). On the other hand, the oil sector experienced a contraction of 8.06% YoY (2.67% higher than the -10.73% recorded Q3 2021) as a result of the decline in oil production over the period.
For context, Nigeria recorded average daily oil production of 1.56 million barrels per day (mbpd); which is a drop of 0.06mbpd from 1.57mbpd recorded in Q3 2021. According to the report, the oil sector contributed 5.87% to total real GDP (1.62bps lower than the 7.49% contribution in the previous quarter).