Nigeria GDP – Nigeria’s economic growth slows to 2.25% in Q3 2022

According to the National Bureau of Statistics’ most recent GDP report, the third quarter of 2022 saw Nigeria’s gross domestic product (GDP) expand by 2.25% year-on-year, which was the slowest rate of growth since the Covid-19 epidemic.

According to the NBS, the poor development is due to the residual impacts of the recession as well as the difficult economic conditions that have hampered productive activity. The Q3 2022 growth rate dropped by 1.78% points from the Q3 2021 growth rate of 4.03% and by 1.29% points from the Q2 2022 growth rate of 3.54%.

In real terms, the non-oil sector which was the major driver of the GDP expanded by 4.27% in Q3 2022. This rate was 0.50% lower than Q2 2022 and was down 1.18% from Q3 2021. The key drivers of development were Trade, Information and Communication (Telecommunication), Financial and Insurance (Financial Institutions), Transportation (Road Transport), Agriculture (Crop Production), and Real Estate.

In terms of GDP contribution, the non-oil sector increased its share of the overall GDP to 94.34% from the previous sector’s 93.67%, while the oil sector contributed 5.66% to the total real GDP during the time period.

As of Q3 2022, the oil sector was down -22.67% year over year. This rate was 10.90% lower than Q2 2022 and a fall of 11.94% points from the rate seen in the same quarter of 2021.

For context, Nigeria recorded average daily oil production of 1.11 million barrels per day (mbpd) in Q3 2022, which is a drop of 0.10mbpd from 1.21mbpd recorded in Q2 2022. On a QoQ basis, the daily production rate in Q3 2022 was lower than the daily average production of 1.34mbpd recorded in the same quarter of 2021 by 0.24mbpd and lower than the fourth quarter 2021 production volume of 1.32mbpd by 0.21mbpd.