Nigeria’s Gross Domestic Product (GDP) grew by 2.25% (year-on-year) in real terms in the third quarter of 2022, according to a report released by the National Bureau of Statistics (NBS).
This growth rate shows a 1.78% decline from 4.03% recorded in the third quarter of 2021 and decreased by 1.29% points relative to 3.54% in Q2 2022.
NBS said the drop in growth rate is due “to the base effects of the recession and the challenging economic conditions that have impeded productive activities.”
Compared to the Q2 2022, the growth in The Q3 2022 growth rate decreased by 1.78% points from the 4.03% growth rate recorded in Q3 2021 and decreased by 1.29% points relative to 3.54% in Q2 2022.
However, quarter-on-quarter, real GDP grew at 9.68% in Q3 2022, reflecting a higher economic activity in Q3 2022 than the preceding quarter, according to the report.
In nominal terms, aggregate GDP stood at N52.26 trillion in the quarter under review. This indicates a year-on-year nominal growth rate of 15.83% from the N45.11 trillion reported in Q3 2021.
Nigeria’s average oil production stood at 1.2 million barrels per day during the third quarter. This is lower than average of 1.57 million barrels per day recorded in Q3 2021 and lower than Q2 2022 production volume of 1.43 mbpd.
In Q3 2022, the real growth in the Nigeria’s oil sector was – 22.67% year-on-year according to the report.
The Oil sector contributed 5.66% to the total real GDP in Q3 2022, down from 7.49% in Q3 2021 and 6.33% in Q2 2022.
On the other hand, the non-oil sector grew by 4.27% in real terms during the reference quarter (Q3 2022). This sector includes, Information and Communication; trade; transportation; Financial and Insurance; agriculture; real estate; mining and quarrying among others.
In real terms, the non-Oil sector contributed 94.34% to the nation’s GDP in Q3 2022, higher than the share recorded in the third quarter of 2021 which was 92.51% and higher than the second quarter of 2022 recorded as 93.67%.
In Q3 2022, Mining and Quarrying sector contributed 5.90% in real terms, lower than the rate of 7.66% recorded in the corresponding quarter of 2021 and lower than the 6.51% recorded in the second quarter of 2022.
Agriculture contributed 29.67% to overall GDP in real terms in Q3 2022, lower than the contribution in the third quarter of 2021 and higher than the second quarter of 2022 which stood at 29.94% and 23.24% respectively.
Manufacturing sector’s real contribution to GDP in the 2022 third quarter was 8.59%, lower than the 8.96% recorded in the third quarter of 2021 and lower than the 8.65% recorded in the second quarter of 2022.
In Q3 2022, construction contributed 3.32% to total real GDP, higher than its contribution of 3.22% in the same quarter of the previous year, and higher than in the immediate past quarter where it contributed 3.21%.
Trade sector’s contribution to the real GDP was 15.35%, higher than the 14.93% it represented in the previous year, and lower than the 16.81% recorded in the 2022 second quarter.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.