Consumption spending in Nigeria increased to N57.08 trillion in the first half of 2022 due to rising inflation. According to the National Bureau of Statistics’ “Nigerian Gross Domestic Product Report (Expenditure and Income Approach)” report, this is a 14. 39% increase over the N49.89tn that was spent during the same time of 2021.
The agency also revealed that, in real terms, household final consumption increased by 6. 94% and 17. 64% in the first and second quarters of 2022, respectively. According to the report, the growth rates were lower than those of the equivalent quarters of 2021, which had growth rates of 47. 16% and 42.40%, respectively.
Household final consumption spending increased nominally by 8.14% in the first quarter and 20.99% in the second quarter of 2022. According to the NBS, household consumption made up 76.79% of real GDP at market prices in Q1 2022 and 78.99% in Q2 2022, leaving little room for investments and other expenditures. From January 2021 to June 2022, headline inflation increased from 16.47 percent to 18.60 percent.