BREAKING NEWS: Nigeria’s economy grew by 0.11%y/y in Q4 and -1.92 in FY 2020

By Charles Abuede

Latest data accessed by Business A.M on Thursday from the National Bureau of Statistics (NBS), Nigeria revealed that Nigeria’s GDP recorded a positive growth rate by 0.11 per cent year on year to N19.55 trillion in real terms and N43.56 trillion in nominal terms in the final three months of 2020. This growth represents the first positive quarterly growth in the last three quarters which was saddled with the coronavirus crisis, insecurity challenges, unemployment, etc.

According to the report, the relatively weak but positive growth is a reflection of the gradual return of economic activities in the economy following the easing of restricted movements and limited local and international commercial activities in the preceding quarters.

Also, Nigeria’s GDP recorded a lower growth rate in the full year as it dip to -1.92 per cent year on year in 2020 from 2.27 per cent recorded in 2019. In the year 2020, the oil sector grew at –8.89% compared to 4.59% in 2019. The oil sector contributed 5.87% to total real GDP in Q4 2020, down from the corresponding period of 2019 and the preceding quarter, where it contributed 7.32% and 8.73% respectively; while the non-oil sector grew –1.25% compared to 2.06% in 2019. Growth in the sector was driven by Information and Communication (Telecommunications & Broadcasting). Other drivers were Agriculture (Crop Production), Real Estate, Manufacturing (Food, Beverage & Tobacco), Mining and Quarrying (Quarrying and other Minerals), and Construction, accounting for positive GDP.

More details soon…….