THREE out of the 19 economic sectors in Nigeria record a positive shift as the country Gross Domestic Product (GDP) increased in the fourth quarter of 2019, a report by National Bureau of Statistics (NBS) has shown.
In a report released on Monday by the NBS, the three sectors that recorded positive growth were Mining and Quarrying, Arts, Entertainment and Recreation and Financial and Insurance.
Mining and Quarrying recorded the highest growth of the three sectors, according to the Nigeria Investment Promotion Commission (NIPC).
Comparing Q4 2018 and Q4 2019, Nigeria’s GDP grew by 2.55 per cent (year-on-year) in real terms in the fourth quarter of 2019, the NBS has reported.
The NBS classified the Nigerian economy into the oil sector and non-oil sector
During the fourth quarter of 2019 of the oil sector, average daily oil production of two million barrels per day (mbpd) was recorded, indicating a rise of 0.09mbpd over the daily average production of 1.91 mbpd recorded in the same quarter of 2018.
The non-oil sector grew by 2.26 per cent in real terms in Q4, this was lower by –0.44 per cent points compared to the rate recorded in the same quarter of 2018 but 0.42 per cent point higher than the third quarter of 2019.
The report showed that this sector was driven, during the fourth quarter of 2019, mainly by Information and Communication (Telecommunications), Agriculture (Crop Production), Financial and Insurance Services (Financial Institutions), and Manufacturing.
In real terms, the non-oil sector contributed 92.68 per cent to the nation’s GDP in the fourth quarter of 2019, lower from shares recorded in the fourth quarter of 2018 (92.94 per cent) but higher than the third quarter of 2019 (90.23 per cent).
The annual contribution of the non- oil sector stood at 91.22 per cent in 2019.
Explaining the implication of this for the economy, John Ashbourne a Capital Economist said despite that Nigeria’s GDP moved up a notch in Q4, ” there is still no sign of a broad-based economic recovery.”
“We expect that the authorities will continue to enact unconventional stimulus policies later this year,” he added.
Also, a top official at the Ministry of Budget and Planning who did not want his name mentioned because he was not authorised to speak to the press, express optimism about a positive impact of the GDP on the average Nigerian.