Business Nigeria’s Economy Contracted By 1.5% In 2016 - NBS



Nigeria’s gross domestic product contracted by 1.51 percent in 2016, the National Bureau of Statistics said on Tuesday.

Africa’s largest economy slid into recession for the first time in 25 years in the second quarter of 2016 as a slump in crude prices and attacks on oil installations in the Niger Delta region areas.

“In the fourth quarter of 2016, the nation’s Gross Domestic Product (GDP) contracted by -1.30% (year-on-year) in real terms, from N18,533.75 billion in Q4 2015 to N18,292.95 billion in Q4 2016,” the statistics office report said.

According to the report, both oil and non-oil sectors recorded a decline, but the non-oil sector increased its share of the economy to 92.85 percent.


“In the fourth quarter of 2016 this sector declined by -12.38% in real term (year-on-year). This was an improvement relative to the previous quarter, when the sector declined by -22.01%, but nevertheless was a more severe decline than in the fourth quarter of 2015, when a contraction of -8.23% was recorded.

“The non-oil sector declined by -0.33% in real terms in the fourth quarter of 2016. This was 0.36% points lower than growth of 0.03% recorded in Q3 2016, and 3.46% points lower than the 3.14% growth recoded in Q4 2015.

“Given that the growth rate was stronger than in the oil sector, the non-oil sector increased its share of GDP to 92.85%, from 91.94% in the fourth quarter of 2015,” NBS reports.