The National Bureau of Statistics has revealed that Nigeria recorded a 2017 first quarter GDP growth rate of -0.52%. This confirms that Nigeria is still technically in a recession and will have to wait till the end of 2nd quarter of 2017 for another bite at the cherry. For Nigeria to exit the recession officially, it will have to post a positive real GDP growth rate.
At -0.52%, the first quarter real GDP growth rate is a much more improvement from the -1.73 recorded in the last quarter of 2016.
See snapshot below;
- Gross Domestic Product (GDP) contracted by –0.52% (year-on year) in real terms, representing the fifth consecutive quarter of contraction since Q1 2016.
- This is 0.15% higher than the rate recorded in the corresponding quarter of 2016 (revised to –0.67% from –0.36%) and higher by 1.21% points from rate recorded in the preceding quarter, (revised to –1.73% from –1.30%).
- 2016 4th quarter GDP was revised downwards to -1.73% from -1.3% suggesting that things were actually worse than earlier reported.
- In nominal terms, GDP stood at N26,028,356.03 million, compared to N22,235,315.29 million in Q1 2016, resulting in a Nominal GDP growth of 17.06%.
- This growth was higher relative to growth recorded in Q1 2016 (11.39%).
- The Oil sector recorded a real GDP growth rate of –11.64% (year-on year) in Q1 2017. This represents a decline of (–4.81%) relative to rate recorded in the corresponding quarter of 2016.
- Growth declined by 6.83% and increased 6.06% when compared to Q1 2016 and Q4 2016 respectively.
- The non-oil sector grew by 0.72% in real terms during the reference quarter. This was 1.05 % higher than the rate recorded in the fourth quarter of 2016, and 0.90 % higher than the corresponding quarter of 2016
- In real terms, the Non-Oil sector contributed 91.10% to the Nigeria’s GDP, higher from share recorded in the first quarter of 2016 (89.98%) but lower than the share recorded in the fourth quarter of 2016 (93.25%)
- Growth in the Non-oil sector was largely driven by the activities in the Agriculture Sector(Crop Production), Information & Communication, Manufacturing, Transportation and Other Services.