Nigeria’s manufacturing sector accounted for 8.05% of real GDP in 2025, down from 8.24% recorded in 2024.
This was according to the National Bureau of Statistics’ Nigerian Gross Domestic Product (GDP) Report Q4 2025.
The decline in contribution comes despite a slight improvement in annual real growth, underscoring the sector’s weak structural momentum within the broader economy.
The sector comprises thirteen sub-activities, including oil refining, cement, food, beverages and tobacco, textiles, chemicals and pharmaceuticals, basic metals, motor vehicles and other manufacturing segments
What the report says
Data from the report show that real GDP growth in manufacturing stood at 1.13% year-on-year in Q4 2025.
This was lower than the same quarter of 2024 and also lower than the preceding quarter. On a quarter-on-quarter basis, growth was 9.01%.
For the full year, real growth in the sector was 1.41% in 2025, marginally higher than the 1.20% recorded in 2024. However, the modest growth was insufficient to prevent a drop in its overall share of the economy.
Also, manufacturing contributed 7.40% to GDP in Q4 2025, lower than the 7.62% recorded in Q4 2024 and below the third quarter of 2025.
This indicates that even as the broader economy expanded by 4.07% in real terms in Q4 2025, manufacturing lagged behind other growth drivers.
The report read, “Real GDP growth in the manufacturing sector in the fourth quarter of 2025 was 1.13% (year-on-year), lower than the same quarter of 2024 and lower than the preceding quarter by 0.15% points and 0.13% points, respectively. The growth rate of the sector on a quarter-on-quarter basis stood at 9.01%. Overall, the sector grew by 1.41% in 2025, higher than the 1.20% recorded in 2024. The Real contribution to GDP in the fourth quarter of 2025 was 7.40%, lower than the 7.62% recorded in the fourth quarter of 2024 and the third quarter of 2025. In total, the sector contributed 8.05% in 2025, lower than the 8.24% contributed in 2024.”
Nominal growth fails to lift GDP share
In nominal terms, manufacturing grew by 12.96% in 2025, up from 10.84% in 2024. In Q4 2025, nominal growth stood at 5.80% year-on-year, significantly lower than the 13.14% recorded in Q4 2024.
Despite stronger nominal expansion, the sector’s share of nominal GDP also declined on an annual basis. Manufacturing contributed 8.46% to nominal GDP in 2025, compared to 8.85% in 2024.
In Q4 2025, its nominal contribution was 8.34%, lower than the 9.27% recorded in the corresponding quarter of 2024, but slightly higher than the 8.06% posted in Q3 2025.
The divergence between nominal and real performance suggests that price adjustments may have supported value growth more than actual increases in production volumes.
What you should know
Nairametrics earlier reported that Nigeria’s economy grew by 4.07% year-on-year in real terms in the fourth quarter (Q4) of 2025.
- This was according to the latest Gross Domestic Product (GDP) report released by the National Bureau of Statistics (NBS) on Friday.
- The growth rate represents an improvement from the 3.76% recorded in the corresponding period of 2024, signalling a stronger year-end performance.
