By Financescape
The National Bureau of Statistics (NBS), has released the Nigerian Gross Domestic Product Report for Q2 2019. The report indicates Nigeria’s Gross Domestic Product (GDP) grew by 1.94%(year-on-year) in real terms in the second quarter of 2019. Compared to the second quarter of 2018, which recorded a growth of 1.50%. however, the Q2 2019 real growth rate indicates a decline of –0.16% points.
According to the report on a half-year basis, real growth in the first half of 2019 stood at 2.02%, higher than in 2018 which was 1.69%. Quarter on quarter, real GDP increased by 2.85% compared to a decline of –13.69% in the preceding period. For better clarity, the report classified the Nigerian economy into the oil and nonoil sectors.
The Oil Sector
The oil sector posted a real growth rate of 5.15% (year-on-year) in Q2 2019, representing 9.10% points increase relative to the rate recorded in the corresponding quarter of 2018. It also indicates an increase of 6.61% points when compared to Q1 2019(revised). Quarter-on-Quarter, the oil sector recorded a growth rate of –1.55% in Q2 2019.
The sector contributed 8.82% to total real GDP in Q2 2019, up from levels recorded in the corresponding period of 2018 but down compared to the preceding quarter.
The Non-Oil Sector
The non-oil sector grew by 1.64% in real terms during the reference quarter. This was –0.40% points lower than recorded in the same quarter of 2018, and -0.83% point lower than the first quarter of 2019. During the quarter, the sector was driven mainly by Information and communication, Mining and Quarrying, Agriculture, Transportation, and Storage, as well as Other Services. In real terms, the Non-Oil sector contributed 91.18% to the nation’s GDP, lower than the share recorded in the second quarter of 2018 (91.45%) but higher than the first quarter of 2019 (90.78%).
