Nigeria’s Gross Domestic Product (GDP) grew by 3.13% in the first quarter of 2025, according to the latest data released by the National Bureau of Statistics (NBS). The growth was largely driven by the services sector, which expanded by 4.33% and accounted for 57.5% of total real GDP.
The Statistician-General of the Federation and CEO of NBS, Adeyemi Adeniran, described the Q1 performance as an improvement from the 2.27% recorded in the same quarter of 2024.
Agriculture Sector Shows Marginal Recovery
The agriculture sector grew by just 0.07% in real terms an improvement from the -1.79% contraction recorded in Q1 2024, though still underperforming relative to its potential. In nominal terms, its contribution to GDP declined to 19.40%, compared to 20.86% in the previous year.
The growth figures are the first to emerge from Nigeria’s rebased national accounts, now benchmarked to 2019 prices rather than the previous 2010 base year. According to the NBS, this rebasing provides a more accurate and up-to-date picture of the economy’s structure.
Key Sectoral Contributions
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Telecommunications and Information Services saw strong growth of 7.40%, accounting for 10.59% of GDP, up from 10.17% in Q1 2024.
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The Finance and Insurance sector grew by 15.03%, driven by increased digital innovation, greater financial inclusion, and improved banking and fintech operations.
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The Trade sector rose 1.78%, contributing 18.21% to GDP.
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Real Estate expanded by 4.61%, and the Transportation sector surged by 14.08%, with all transport modes—road, rail, air, water, and pipeline—recording positive growth.
The industry sector posted a year-on-year growth of 3.42%, up from 2.35% in Q1 2024. Crude oil production averaged 1.62 million barrels per day (mbpd), slightly higher than 1.57 mbpd in the same period last year. However, the oil sector’s real GDP growth slowed to 1.87%, down from 4.71%, and its share of GDP fell to 3.97% from 4.02%.
The manufacturing sector recorded real growth of 1.69%, led by:
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Food, Beverage & Tobacco: +3.48%
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Chemical & Pharmaceutical Products: +5.33%
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Cement: +4.94%
Manufacturing contributed 9.62% to real GDP.
Meanwhile, the construction sector remained robust, expanding by 6.21%, supported by ongoing government infrastructure projects and private real estate developments.
The Q1 2025 report reflects continued, albeit uneven, recovery across key sectors of Nigeria’s economy, with the services sector cementing its role as the primary driver of growth.
