Nigeria’s Economy Recorded Stronger Growth In The First Quarter Of 2026, With An Uptick Of 3.89% Year-On-Year In Real Terms In first Quarter Of 2026, Higher Than The 3.13% Recorded In The Corresponding Period Of 2025.
This is according to the latest gross domestic product, GDP report released by the National Bureau of Statistics, NBS.
The growth was driven largely by the services sector, improved agricultural performance and sustained expansion in telecommunications, construction and financial services, despite weaker oil production and persistent pressures in the power sector.
The report also revealed that Nigeria’s nominal GDP stood at ₦110.79 trillion, that is $79.14 billion using exchange rate of N1,400 in the first quarter of 2026, this representing a 17.79% increase from ₦94.05 trillion recorded in Q1 2025.
According to the bureau, the services sector remained the biggest driver of the economy, contributing 57.73% to aggregate GDP, compared to 57.50% in the same period last year. The sector recorded a growth rate of 4.31% during the quarter.
Agriculture also posted stronger performance, growing by 3.15% from the marginal 0.07% growth recorded in Q1 2025, with crop production remaining the dominant contributor within the sector.
The industry sector expanded by 3.50%, slightly higher than the 3.42% recorded a year earlier, supported by improved activities in manufacturing and construction.
Within the non-oil economy, growth stood at 3.94%, driven mainly by telecommunications, trade, crop production, financial institutions, construction and real estate activities.
The non-oil sector contributed 96.08% to real GDP during the quarter.
The information and communication sector emerged as one of the strongest performers, recording a real growth rate of 10.98% and contributing 11.31% to real GDP, with telecommunications accounting for the largest share of the sector’s activities.
Construction recorded a real growth rate of 6.38%, while manufacturing grew by 3.29%, reflecting gradual recovery in industrial activities.
The finance and insurance sector also maintained strong momentum, posting an 8.54% real growth rate in Q1 2026.
However, the report showed that crude oil production declined to an average of 1.55 million barrels per day in Q1 2026, compared to 1.62 million barrels per day recorded in the same quarter of 2025.
Despite this, the oil sector recorded a real growth of 2.57% year-on-year, contributing 3.92% to real GDP.
Meanwhile, the electricity, gas, steam and air conditioning supply sector contracted sharply, recording a real growth rate of negative 15.30%, highlighting continued challenges in Nigeria’s power supply chain.
BREAKDOWN OF Q1 2026 GDP GROWTH
REAL GDP GROWTH: 3.89%
Q1 2025 GDP GROWTH: 3.13%
NOMINAL GDP: ₦110.79 TRILLION
YEAR-ON-YEAR GDP INCREASE: 17.79%
SERVICES SECTOR CONTRIBUTION TO GDP: 57%+
AGRICULTURE GROWTH: 3.15%
NON-OIL SECTOR GROWTH: 3.94%
NON-OIL CONTRIBUTION TO REAL GDP: 96.08%
ICT SECTOR GROWTH: 10.98%
ICT CONTRIBUTION TO REAL GDP: 11.31%
CRUDE OIL PRODUCTION Q1 2026: 1.55 MILLION BPD
CRUDE OIL PRODUCTION Q1 2025: 1.62 MILLION BPD
OIL SECTOR GROWTH: 2.57%
OIL SECTOR CONTRIBUTION TO REAL GDP: 3.92%
ELECTRICITY SECTOR GROWTH: -15.30%
DOLLAR VALUE OF GDP AT ₦1,400/$: $79.14 BILLION
(Editor: Terverr Tyav)
