Nigeria: GDP grows at its fastest rate for 3 years

Nigeria’s GDP is growing at its fastest rate for three years thanks to a 5.37% expansion in the services sector.

The country’s economy grew by 3.84% in the fourth quarter of 2024, thanks to a boom in services, a 2% expansion in industry and a 1.76% increase in agriculture.

This growth in Nigeria’s GDP exceeded that of the third quarter (3.46%), the second quarter (3.19%) and the first quarter (2.98%), bringing GDP growth for the year as a whole to 3.40%, compared with 2.74% in 2023. Despite this achievement, growth remains below the 6% target set by President Bola Tinubu.

Nigeria plans to rebase its GDP data to better reflect structural changes in sectors such as information and communication technologies, digital trade and the maritime economy. Sectors that were last updated in 2014, when Nigeria overtook South Africa as Africa’s largest economy.

The IMF forecasts GDP growth of 3.2% in 2025 for Nigeria, where structural reforms and improved data collection could play a key role in the country’s economic prospects.

Source: africanews