Nigeria GDP growth shrinks to 3.1%

Nigeria recorded annual Gross Domestic Product (GDP) growth of 3.1 percent in 2022, representing a 0.3 percentage point decline from the 3.4 percent recorded in 2021.

But the GDP growth in the fourth quarter of last year, Q4’22 rose to 3.52 percent from 2.25%in Q3’22.

The improved GDP growth in Q4’22 was driven mainly by the services sector, which recorded a growth of 5.69% and contributed 56.27% to the aggregate GDP.

The National Bureau of Statistics (NBS) disclosed this in the just released GDP report for the fourth quarter, Q4’22.

The report said: “Nigeria’s Gross Domestic Product (GDP) grew by 3.52% (year-on-year) in real terms in the fourth quarter of 2022, following a growth of 2.25% in the third quarter of 2022 and 3.98% in the fourth quarter of 2021.

“The performance of the GDP in the fourth quarter of 2022 was driven mainly by the Services sector, which recorded a growth of 5.69% and contributed 56.27% to the aggregate GDP.

“Although the Agriculture sector grew by 2.05% in the reference period, its performance was significantly hampered by severe incidences of flood experienced across the country, accounting for lesser growth relative to the fourth quarter of 2021 which was 3.58%.

“Moreover, the Industry sector was yet challenged recording -0.94% growth and contributing less to the aggregate GDP relative to the third quarter of 2022 and the fourth quarter of 2021.

“Overall, the annual GDP growth rate in 2022 stood at 3.10%, from the 3.40% reported in 2021. Thus, the performance of agriculture and Industry reduced in 2022 relative to 2021, while the performance of the Services sector improved in 2022.

“In the quarter under review, aggregate GDP stood at N56,757,889.95 million in nominal terms. This performance is higher when compared to the fourth quarter of 2021 which recorded aggregate GDP of N49,276,018.23 million, indicating a year-on-year nominal growth of 15.18%.”