Amid Subsidy Removal, Nigeria’s GDP Growth Slows to 2.51%

Nigeria’s Gross Domestic Product has slowed to 2.51 per cent (year-on-year) in real terms in the second quarter of 2023. This growth rate is lower than the 3.54 percent recorded in the second quarter of 2022.

According to the Gross Domestic Product report published by the NBS on Friday, the growth decline may be attributed to the challenging economic conditions being experienced.

The performance of the GDP in the second quarter of 2023 was driven mainly by the Services sector, which recorded a growth of 4.42 per cent and contributed 58.42 per cent to the aggregate GDP. The agriculture sector grew by 1.50%, an improvement from the growth of 1.20 per cent recorded in the second quarter of 2022.

The growth of the industry sector was -1.94 per cent relative to -2.30 per cent recorded in the second quarter of 2022. In terms of share of the GDP, agriculture, and the industry sectors contributed less to the aggregate GDP in the second quarter of 2023 compared to the second quarter of 2022.

This performance is higher when compared to the second quarter of 2022 which recorded aggregate GDP of N45tn, indicating a year-on-year nominal growth of 15.77 per cent.

Details later…