The Nigeria Bureau of Statistics [NBS] has released a report stating that oil production in Nigeria dropped to an average daily production of 1.20 million barrels per day (mbpd).
This is lower than the daily average production of 1.57mbpd recorded in the same quarter of 2021 and lower than the second quarter of 2022 production volume of 1.43 mbpd.
On the other hand, the report pasted on the NBS website yesterday recorded that during the same period in review non-oil sector grew by 4.27% in real terms.
But the figure is lower by 1.18 points when compared to the rate recorded in the same quarter of 2021 and 0.50% points lower than the second quarter of 2022.
“This sector was driven in the third quarter of 2022 mainly by information and communication (telecommunication); trade; transportation (road transport); financial and insurance (financial institutions); agriculture (crop production) and real estate, accounting for positive GDP growth,” the report stated.
In real terms, the non-oil sector contributed 94.34% to the nation’s GDP in the third quarter of 2022, higher than the share recorded in the third quarter of 2021 which was 92.51% and higher than the second quarter of 2022 recorded as 93.67%.
The implication is that, strange enough, the Nigerian economy is surviving on the non-oil sectors which contributed 94.34%. The report further stated that the GDP reduced from 4.03% in the third quarter of 2021.
The NBS report blamed the slow growth on the recession and the challenging economic conditions that have hindered productive activities in Nigeria.
“The Q3 2022 growth rate decreased by 1.78% points from the 4.03% growth rate recorded in Q3 2021 and decreased by 1.29% points relative to 3.54% in Q2 2022,” part of the report read.
However, NBS reported that Nigeria’s real GDP grew at 9.68% when compared to the second quarter of 2022, ‘reflecting a higher economic activity in Q3 2022 than the preceding quarter.’
“In the quarter under review, aggregate GDP stood at N52,255,809.62 million in nominal terms. This performance is higher when compared to the third quarter of 2021 which recorded aggregate GDP of N45,113,448.06 million, indicating a year-on-year nominal growth rate of 15.83%.”
The report also stated that Nigeria’s nominal GDP growth rate in Q3 2022 was higher relative to the 15.41% growth recorded in the third quarter of 2021 and higher compared to the 15.03% growth recorded in the preceding quarter.