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The Nigerian economy expanded by 3.84% in the final quarter of 2024. The GDP growth rate, which factors in adjustment for inflation, is the highest in three years.

According to the data by the National Bureau of Statistics (NBS), Nigeria’s annual GDP growth in 2024 reached 3.4%, compared to 2.7% in 2023.

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has expressed delight at the data. In a statement sent to Financial Nigeria by the finance ministry, Edun said: “We are pleased to see the continued growth momentum, both from a quarterly and annual standpoint. It is a true testament to the resilience of the Nigerian economy and the success of President Bola Tinubu’s Renewed Hope Agenda.”

The minister emphasised the expansion of the services sector. He said the ongoing efforts to strengthen food security through agricultural investments are yielding positive results.

“Efforts to ensure that economic growth translates into improved livelihoods for all Nigerians continue through initiatives such as the direct benefit transfers scheme,” he added.

The performance of the GDP in the fourth quarter of 2024 was driven mainly by the services sector, which recorded a growth of 5.37% and contributed 57.38% to the aggregate GDP.

The oil sector accounted for 4.6% of the nation’s economic output in Q4 2024, while the non-oil sector contributed 95.4%. While agriculture accounted for 25.59% of the GDP, industries contributed 17.03%.

In its World Economic Outlook (October 2024), the IMF estimated Nigeria’s GDP at $194.96 billion, sliding to the position of the fourth-largest African economy after South Africa ($418.05 billion), Egypt ($345.87 billion), and Algeria ($264.27 billion).