Services Sector Drives Nigeria’s GDP Growth to 4.07%, Says NBS

Nigeria’s economy expanded by 4.07 per cent year-on-year in the fourth quarter of 2025, with the services sector maintaining its position as the dominant driver of growth, according to the latest report released by the National Bureau of Statistics (NBS).

The NBS disclosed that real Gross Domestic Product (GDP) growth in Q4 2025 represents an improvement compared to the corresponding period of 2024, reflecting sustained recovery across key non-oil segments of the economy.

The services sector accounted for 55.92 per cent of total GDP during the quarter, reaffirming its status as the largest contributor to Nigeria’s economic output.

The sector grew by 4.15 per cent year-on-year, supported by strong performances in trade, telecommunications, financial services, and information and communication technology.

The data further showed that the non-oil sector remained the backbone of the economy, contributing over 97 per cent to total GDP in the review period.

Analysts note that the continued dominance of services highlights Nigeria’s gradual shift toward a more diversified economic structure.

In addition to services, the agriculture sector recorded 4.00 per cent growth, while the industry sector expanded by 3.88 per cent.

The oil sector also posted growth of 6.79 per cent year-on-year, although its overall contribution to GDP remained relatively modest compared to non-oil activities.

On a full-year basis, Nigeria’s real GDP grew by 3.87 per cent in 2025, up from 3.38 per cent recorded in 2024, signaling broader economic resilience despite persistent macroeconomic challenges.

Economic experts have attributed the positive performance to ongoing fiscal and monetary reforms, improved revenue mobilization, and gradual stabilization in foreign exchange markets.

However, they cautioned that sustaining growth would require addressing inflationary pressures, boosting infrastructure investment, and strengthening productivity across critical sectors.