Slow consumption slashes GDP in Q3 and Q4 2016, says NBS

Inflation Market Lagos

The National Bureau of Statistics (NBS) has disclosed that the nation’s  Gross Domestic Product (GDP) in real terms declined in the third and fourth quarters of 2016.

NBS said this in its “Nigerian Gross Domestic Product Report on Expenditure and Income Approach for the third and fourth quarter of 2016 released in Abuja.

According to the report, the decline followed the negative growth trend from the first half of 2016.

The report explained that the household consumption and government consumption expenditures led to the decrease in GDP in both the third and fourth quarter of the year under review.

The bureau, however, stated that a strong recovery in growth in net exports, particularly in the fourth quarter helped to stem the decline.

According to the report, the National Disposable Income recorded a strong growth in comparison to the GDP in the second half of 2016 in real terms.

This it said was partly as a result of increases in other net transfers from the rest of the World .

The report stated that Year on Year growth in Domestic Compensation of Employees in real terms declined.

The bureau further said that the operating surplus declined in the third and fourth quarters but grew overall in real terms in 2016.