The National Bureau of Statistics (NBS) has reported that Nigeria’s annual gross domestic product (GDP) grew by 3.84 per cent in the fourth quarter (Q4) of 2024, compared to 3.46 per cent in Q3 2024 and 3.46 per cent in Q4 2023.

According to the NBS report, the GDP growth was primarily driven by the services sector, which expanded by 5.37 per cent and contributed 57.38 per cent to the overall GDP.

“The agriculture sector grew by 1.76%, from the growth of 2.10% recorded in the fourth quarter of 2023,” the report stated.

In contrast, “The growth of the industry sector was 2.00%, a decline from 3.86% recorded in the fourth quarter of 2023.”

The services sector’s contribution to the aggregate GDP in Q4 2024 was higher compared to the same quarter in 2023.

Overall, the annual GDP growth for 2024 was 3.40%, up from 2.74% in 2023.

The NBS also reported that the nominal GDP reached N78.37 trillion in Q4 2024, compared to N65,908,258.59 million in Q4 2023, representing a year-on-year nominal growth of 18.91%.

Oil Production Drops, Non-Oil Sector Contributes Significantly

The NBS report indicated that Nigeria’s average oil production in Q4 2024 was 1.54 million barrels per day (mbpd).

This is “0.03million bpd lower” than the Q4 2023 production volume of 1.56mbpd and “0.06mbd higher than the daily average production of 1.47mbpd recorded in the third quarter of 2024”.

“The real growth of the oil sector was 1.48% (year-on-year) in Q4 2024, indicating a decrease of 10.64% points relative to the rate recorded in the corresponding quarter of 2023 (12.11%),” the report explained.

The oil sector contributed 4.60 per cent to Nigeria’s total real GDP in Q4 2024, down from 4.70 per cent in the same period in 2023 and 5.57 per cent in the previous quarter.

The non-oil sector grew by 3.96 per cent in real terms in Q4 2024, higher than the 3.07 per cent in Q4 2023 and 3.37 per cent in Q3 2024.

The growth was primarily driven by financial and insurance institutions, information and communication (telecommunications), agriculture (crop production), transportation and storage (road transport), trade, and manufacturing.

“In real terms, the non-oil sector contributed 95.40% to the nation’s GDP in the fourth quarter of 2024, higher than the share recorded in the fourth quarter of 2023 which was 95.30% and higher than the third quarter of 2024 recorded as 94.43%,” the NBS stated.

This report follows the NBS announcement on February 18th that Nigeria’s inflation rate decreased from 34.8 per cent in December 2024 to 24.48 per cent in January 2025.