Oil Sector’s Contribution to Nigeria’s GDP Drops to 5.70% in Q2 2024
The oil sector’s contribution to Nigeria’s Gross Domestic Product (GDP) fell from 6.38% in the first quarter of 2024 to 5.70% in the second quarter, according to data released by the National Bureau of Statistics (NBS). This decline comes despite a 3.53% growth rate in the sector during the same period.
The oil sector’s share of GDP has been on a downward trend as the non-oil sector increasingly dominates the economy. In Q2 2024, the non-oil sector accounted for 94.30% of the GDP, with the Services sector leading the charge, recording a 3.79% growth rate and contributing 58.76% to the aggregate GDP.
Nigeria’s economy overall showed significant growth in the second quarter of 2024, with a GDP growth rate of 3.19%. This is an improvement from the 2.51% growth recorded in the same quarter of 2023 and the 2.98% growth in the first quarter of 2024. The Services sector was the primary driver of this growth, expanding by 3.79%. The agriculture sector grew by 1.41%, while the industry sector rebounded with a 3.53% growth rate, a marked improvement from the -1.94% contraction in Q2 2023.
In nominal terms, Nigeria’s aggregate GDP for Q2 2024 was N60.93 trillion, reflecting a 16.94% year-on-year increase compared to the N52.10 trillion recorded in the second quarter of 2023.
