GDP: Nigeria’s Economy Grows by 3.87% in 2025
Nigeria’s economy achieved an impressive 3.9% year on year growth in 2025, the National Bureau of Statistics (NBS) said in a gross domestic product (GDP) report released
The economy inched up to 3.9% in 2025 from 3.4% in 2024, supported by improved performance in key sectors. The upward trajectory was buoyed by both the oil and non-oil sectors, which grew by 8.5% and 3.7% year-on-year, respectively.
In comparison, last year’s growth for these sectors was 5.5% and 3.3% year-on-year, underscoring Nigeria’s economic resilience and signalling a promising outlook for future growth. Naira Falls on Growing FX Outflow Despite Intervention
Nigeria’s Gross Domestic Product (GDP) expanded by 4.07 per cent in real terms year-on-year in the fourth quarter of 2025, marking a stronger performance compared to the 3.76 per cent growth recorded in the corresponding period of 2024.
The figures were contained in the latest GDP report released on Friday by the National Bureau of Statistics (NBS), which also showed that the economy grew by 3.87 per cent for the full year 2025, up from 3.38 per cent in 2024.
According to the NBS, the improved fourth-quarter performance reflected stronger activities across agriculture and industry, while growth in services moderated slightly during the period under review.
Data from the bureau showed that the agricultural sector grew by 4.00 per cent in real terms in Q4 2025, up from 2.54 per cent in the same quarter of 2024. The sector’s performance was largely driven by crop production, which accounted for 64.75 per cent of the overall nominal value of agriculture in the quarter.
Industry also recorded notable gains, growing by 3.88 per cent in Q4 2025, up from 2.49 per cent in Q4 2024. The services sector expanded by 4.15 per cent, although this was slightly lower than the 4.75 per cent growth posted in the corresponding quarter of 2024.
In terms of contribution to aggregate GDP, services remained dominant, accounting for 55.92 per cent in Q4 2025, marginally higher than the 55.87 per cent recorded in the same period of 2024.
Aggregate GDP at basic prices stood at N122.81 trillion in nominal terms during the fourth quarter of 2025, representing a year-on-year nominal growth of 17.55 per cent, up from N104.48 trillion recorded in Q4 2024.
The NBS report highlighted developments in both oil and non-oil segments of the economy. Nigeria recorded an average daily oil production of 1.58 million barrels per day (mbpd) in Q4 2025.
This was higher than the 1.54 mbpd recorded in the corresponding quarter of 2024 but slightly lower than the 1.64 mbpd achieved in the third quarter of 2025.
The oil sector grew by 6.79 per cent year-on-year in real terms in Q4 2025, representing an increase of 4.71 percentage points compared to the 2.08 per cent recorded in Q4 2024. On a quarter-on-quarter basis, however, the sector contracted by 6.30 per cent.
On an annual basis, the oil sector grew by 8.50 per cent in 2025, up from 5.54 per cent in 2024. Its contribution to real GDP stood at 2.87 per cent in Q4 2025, slightly higher than 2.80 per cent in Q4 2024 but lower than the 3.44 per cent recorded in Q3 2025.
Overall, the oil sector contributed 3.53 per cent to GDP in 2025, up from 3.38 per cent in 2024.
The non-oil sector continued to dominate the economy, growing by 3.99 per cent in real terms in Q4 2025, compared to 3.80 per cent in the same quarter of 2024 and 3.91 per cent in Q3 2025.
Key drivers of non-oil growth included crop production, telecommunications under information and communication, real estate, trade, financial institutions, construction, road transport, and manufacturing of food, beverages and tobacco.
The non-oil sector contributed 97.13 per cent to real GDP in Q4 2025, slightly lower than the 97.20 per cent recorded in Q4 2024 but higher than 96.56 per cent in Q3 2025. For the full year, the sector accounted for 96.47 per cent of GDP, compared to 96.62 per cent in 2024.
Nominal growth in agriculture stood at 6.82 per cent year-on-year in Q4 2025, though this represented a 2.01 percentage point decline from the same quarter of 2024. Quarter-on-quarter, the sector expanded by 3.36 per cent. Agriculture contributed 25.67 per cent to nominal GDP in Q4 2025 and 23.53 per cent for the full year.
The manufacturing sector recorded nominal year-on-year growth of 5.80 per cent in Q4 2025, lower than the 13.14 per cent recorded in Q4 2024 but higher than the 3.45 per cent recorded in Q3 2025.
In real terms, manufacturing grew by 1.13 per cent year-on-year in Q4 2025, slightly below the levels recorded in the corresponding quarter of 2024 and the preceding quarter. The sector contributed 7.40 per cent to real GDP in Q4 2025 and 8.05 per cent for the full year.
The NBS noted that following the rebasing of GDP using 2019 as the base year, previous quarterly estimates were benchmarked to align with the rebased annual figures, providing a new quarterly GDP series for comparison.
Overall, the Q4 2025 performance signals a gradual strengthening of economic activities, supported by improvements in oil output and resilience in key non-oil sectors. #GDP: Nigeria’s Economy Grows by 3.87% in 2025
