Nigeria’s GDP Rises to 3.98% in Q3 2025 as Agriculture and Industry Drive Economic Rebound

Nigeria’s economy continued its upward trajectory in the third quarter of 2025, with the National Bureau of Statistics (NBS) reporting a 3.98% year-on-year rise in real Gross Domestic Product (GDP). This marks a slight increase from the 3.86% recorded in Q3 2024, signaling steady recovery across key sectors. For many Nigerians navigating rising costs and economic pressures, the latest figures offer a measure of optimism that growth momentum is holding firm.

According to the NBS report released on Monday, the expansion was broadly supported by agriculture, industry, and a resilient services sector. Agriculture grew by 3.79%, a notable jump from the 2.55% recorded in the same period last year—driven largely by improvements in crop production. The industrial sector also picked up pace, growing by 3.77% compared to 2.78% in Q3 2024. Services remained the backbone of the economy, contributing 53.02% of total GDP, slightly higher than last year’s 52.93%.

Nigeria’s non-oil sector continued to dominate overall output, expanding by 3.91% in real terms. Key contributors included telecommunications, real estate, financial services, trade, and manufacturing—underscoring the economy’s gradual shift away from oil dependency. However, the Mining and Quarrying sector posted a sharp nominal decline of 41.08%, reflecting ongoing challenges in mineral production. In contrast, nominal GDP overall reached N113.59 trillion, up from N96.16 trillion in Q3 2024—an 18.12% year-on-year increase.

The oil sector posted mixed results, with daily crude oil production rising to 1.64 million barrels per day, up from 1.47mbpd last year but slightly lower than the previous quarter. Real growth in the oil sector stood at 5.84%, only marginally better than last year’s 5.66% and significantly below the 20.46% spike recorded in Q2 2025. The sector contributed just 3.44% to real GDP in Q3, emphasizing its shrinking share in the broader economy despite recent production improvements.

These latest figures build on the strong performance reported in Q2 2025, when GDP grew by 4.23% year-on-year. While growth remains uneven across sectors, the continued resilience of agriculture, telecoms, and financial services suggests that Nigeria’s economic base is gradually stabilizing. For policymakers, the challenge now lies in sustaining the gains while addressing persistent bottlenecks in oil production, mining, and manufacturing.

source: nairametrics