Nigerian economy grows 3.54% in Q2 2022 amid inflationary pressures
By Adedapo Adesanya
Nigeria’s gross domestic product (GDP) grew by 3.54% in the second quarter of 2022 on an annual basis, which is lower than the 5.01% recorded in the same period last year, but higher to the 3.11% reached in the first quarter of this year.
This information was contained in a statement released by the Federation Statistician General and Director General of the National Bureau of Statistics (NBS), Mr. Semiu Adeniran on the Nigerian Gross Domestic Product Report Q2, 2022 in Abuja on Friday.
He said that in nominal terms, the overall GDP stood at N45 trillion in the second quarter of 2022, noting that the recent price hike had a negative impact on the performance in the second quarter of 2022.
According to him, this performance is higher than the second quarter of 2021 which recorded N39.12 trillion, indicating a nominal growth rate of 15.03 percent year-on-year.
He said nominal GDP in the previous quarter of Q1 2022 stood at N45.32 trillion.
Mr Adeniran said that in terms of real GDP, the second quarter of 2022 recorded N17.29 trillion.
“This is N591.22 billion higher than the N16.69 trillion recorded in the second quarter of 2021.
“It is N63.50 trillion lower than the first quarter of 2022, when overall real GDP was N17.35 trillion.”
Giving a breakdown of the report by sector, Adeniran said crude oil production in the second quarter of 2022 recorded an average daily oil production of 1.43 million barrels per day.
He said that was below the daily average production of 1.61 million barrels per day recorded in the same quarter of 2021 of 0.18 million barrels per day.
“It is also lower than the first quarter 2022 production volume of 1.49 mbd by 0.06 mbd.
“As a result, oil GDP increased by -11.77% in the second quarter of 2022 and represented 6.33% of total production in the reference quarter.”
The general statistician said the sector’s poor performance was due to operational challenges such as pipeline vandalism and oil theft.
He said the non-oil sector grew by 4.77% in real terms in the benchmark quarter (Q2 2022).
Mr Adeniran said the sector in the second quarter of 2022 was mainly driven by activities in the information and communication (telecommunications), trade, finance and insurance sector.
“Others are transportation (road transport), agriculture (agricultural production) and manufacturing (food, beverages and tobacco), all representing positive GDP growth.”
Adeniran said that in real terms, the non-oil sector contributed 93.67% to the country’s GDP in the second quarter of 2022.
He said this was higher than the share recorded in the second quarter of 2021 which was 928% and higher than the first quarter of 2022 at 93.37%.
On general sector performance, Adeniran said agriculture grew by 1.20% during the second quarter of 2022 in real terms.
He said that was lower than the second quarter of 2021 which recorded 1.30%.
“The industry grew by 2.30%, which is a decline from the figure recorded in the second quarter of 2021 when it recorded a growth of -1.23%.”
The Statistician General said the services sector grew by 6.70%, compared to 9.27% in the second quarter of 2021.
Mr Adeniran said agriculture, industry and services contributed 23.24%, 19.40% and 57.35% of GDP respectively during the reference period.
According to him, this shows a higher contribution from services in the second quarter of 2022 compared to the second quarter of 2021.