By Badamasi Bello, Jadetimes Staff
B. Bello is a Jadetimes news reporter covering Nigerian News
The nation's economy grew by 3.46 percent in real terms in Q3 2024 from the same period of last year, the NBS said in a report published on Monday. This is a higher improvement compared to the 3.19 percent recorded in Q2 2024 and the significant rise from the 2.54 percent in Q3 2023.
The report further showed that the nominal aggregate GDP of Nigeria for Q3 2024 was approximately ₦71.1 trillion, while on a year-on-year basis, this represents an increase of 17.26% from ₦60.7 trillion as recorded in Q3 2023.
Sectorial Performance
The services sector led GDP, with the growth rate expanding by 5.19%, accounting for 53.58% of the overall GDP; this reflects the growing dominance of services in the economy.
In the meantime, the agriculture sector grew 1.14%, a marginal decline from 1.30% growth recorded in Q3 2023, while the industry sector grew 2.18%, significantly higher than the 0.46% growth it realized in the corresponding quarter of the previous year.
Oil production was also positive, recording an average daily production of 1.47 mbpd in Q3 2024 from 1.45 mbpd in Q3 2023 and 1.41 mbpd in Q2 2024. The oil sector grew in real terms by 5.17%, rebounding from the -0.85% contraction recorded in Q3 2023.
Meanwhile, the non-oil sector also saw strong growth at 3.37% in real terms, stronger than the 2.75% in Q3 2023 and 2.80% in Q2 2024.
Economic Growth vs. Living Standards
Regardless of the apparently healthy GDP figures, there are still doubts if these have impacts on the lives of ordinary Nigerians. Economic experts Roman Oseghale and Gospel Obele told Channels Television's The Morning Brief that there was a mismatch between the growth of the GDP and quality of life.
They explained that the contribution of GDP growth was limited because Nigeria operates an "assets depletion economy, which maximizes extraction rather than sustainable development." According to Obele, the decline in living standards across the world is due to inadequate emphasis on productivity dynamics.
Multidimensional Poverty and Food Insecurity
A recent NBS survey, "Nigeria General Household Survey – Panel GHS-Panel Wave 5 2023/2024," has painted a somber picture of the multidimensional nature of poverty in Nigeria. It revealed that two-thirds of Nigerian households cannot afford healthy, nutritious meals due to increased costs.
Some of the key findings from the survey are highlighted below:
63.8% of households consumed limited varieties of food due to lack of money.
62.4% were worried about not having enough to eat.
60.5% reported eating less than they thought they should.
The survey also highlighted infrastructure challenges, with households experiencing an average of 6.7 power blackouts per week. Asset ownership has declined since 2018/2019, although two-thirds of households own mobile phones, and 21.3% have internet access.
Outlook
While these GDP growth figures show that the economy is improving, the disconnection between macroeconomic indicators and the realities faced by Nigerians calls for more inclusive economic policies. The bridge between this gap and making economic growth translate into better living standards for all citizens will be critical.
