Nigeria officially out of recession as economy experiences growth within second quarter of 2017

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Nigeria is officially out of recession as data on the country’s Gross Domestic Product released on September 5th by the National Bureau of Statistics (NBS), shows that the economy grew at 0.55 per cent in the second quarter of 2017.

The National Bureau of Statistics linked the economic recovery to the performance of four main economic activities comprising oil, agriculture, manufacturing and trade, as it was also gathered that this is 2.04 per cent higher than the rate recorded in the corresponding quarter of 2016 and higher by 1.46 per cent points from rate recorded in the preceding quarter.

Oil GDP recovered significantly from -11.63 per cent in Q2 2016 to 1.64 per cent in Q2 2017, while Non-oil GDP grew marginally at 0.45 per cent.

Agriculture grew 3.01 per cent in Q2 2017, from 3.39 per cent in Q1 2017.

Manufacturing retained its positive growth for the second consecutive quarter in Q2 2017, growing at 0.64 percent, while trade which has a dominant share of GDP remained negative at -1.62 per cent.

Electricity and gas and financial institutions sectors also recorded strong growths OF 35.5 per cent.

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Charts showing the economic recovery of the various sectors in Nigeria

Financial institutions saw an 11.78 per cent jump in Q2 2017, compared to 0.60 per cent in Q1 2017 and -13.24 per cent in Q2 2016.

The industry sector grew positively by 1.45 per cent in Q2 2017, after nine consecutive quarters of negative growth since Q4 2014.

“This growth is 2.04% higher than the rate recorded in the corresponding quarter of 2016 ( –1.49%) and higher by 1.46% points from rate recorded in the preceding quarter, (revised to –0.91% from –0.52%). Quarter on quarter, real GDP growth was 3.23%,” the NBS said.

“During the quarter, aggregate GDP stood at N26,986,005.20million in nominal terms, compared to N23,547,466.91 million in Q2 2016, resulting in a Nominal GDP growth of 14.60%,” the report added.

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