Nigeria GDP Rebasing Highlights Non-Oil Growth, Real Estate Overtakes Oil in Economic Contribution
Nigeria’s latest Gross Domestic Product (GDP) rebasing has revealed a major shift in the country’s growth structure, showing that non-oil sectors now account for more than 96% of the economy. According to the National Bureau of Statistics (NBS), the rebased figures place the economy at ₦372.82 trillion in 2024, up from ₦314.02 trillion in 2023, with new data reflecting contributions from digital technology, creative industries, and other emerging sectors. The rebasing, which adopted 2019 as the new base year, provides a clearer picture of Nigeria’s economic transformation beyond oil.
For the first time, the real estate sector has surpassed oil and gas, becoming the third-largest contributor to GDP after crop production and trade. Real estate now represents 10.78% of total output, compared to oil’s 5.85%. Experts say this shift reflects rising demand for housing, infrastructure, and commercial spaces in Africa’s most populous nation. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), stressed that government policies must adapt to support this growing sector.
The rebasing also showed positive momentum in several industries. In the first quarter of 2025, 37 sectors recorded growth, including metal ores (25%), financial services (15.3%), transportation (14.1%), and ICT (7.4%). Agriculture and services both expanded their GDP share, with services rising to 53.1%. However, challenges remain, as nine sectors—including coal mining, livestock, and textiles—contracted, with some still in recession.
Despite the promising numbers, analysts warn that structural weaknesses persist. The Manufacturers Association of Nigeria (MAN) noted that the manufacturing sector continues to underperform and called on the federal government to prioritize reforms that boost industrial output. While the rebasing reduces Nigeria’s debt-to-GDP ratio from 52% to about 40%, economists caution that stronger fiscal discipline and job creation are necessary to make the figures meaningful for ordinary citizens.
Finance Minister Wale Edun described the rebasing as a tool for better policymaking, but observers stress that growth in ICT, real estate, and finance must be matched by stronger support for agriculture and manufacturing. As Nigeria potentially reclaims the top spot as Africa’s largest economy in nominal terms, the big question remains: will this statistical boost translate into better living standards, infrastructure, and inclusive growth for its people?
Source: The sun