Nigeria’s economy began 2026 on a stronger footing, as fresh data from the National Bureau of Statistics (NBS) indicated a gradual but steady recovery across key sectors of the economy.
The country recorded a real Gross Domestic Product (GDP) growth of 3.89 per cent year-on-year in the first quarter of 2026, marking an improvement from the 3.13 per cent recorded in the corresponding period of 2025.
Agriculture emerged as the strongest performer during the review period, growing by 3.15 per cent in Q1 2026, a sharp rebound from the marginal 0.07 per cent growth recorded in Q1 2025.
The industrial sector grew by 3.50 per cent, slightly higher than the 3.42 per cent recorded in the same quarter of 2025, while the services sector expanded by 4.31 per cent, marginally below the 4.33 per cent posted a year earlier.
In terms of contribution to GDP, the services sector remained dominant, accounting for 57.73 per cent in Q1 2026, compared to 57.50 per cent in the same period of 2025. Aggregate GDP at basic prices stood at N110.79 trillion in nominal terms, up from N94.05 trillion in Q1 2025, representing a year-on-year nominal growth of 17.79 per cent.
Nigeria’s average daily oil production stood at 1.55 million barrels per day (mbpd) in Q1 2026, lower than the 1.62 mbpd recorded in Q1 2025 and the 1.58 mbpd posted in Q4 2025.
Despite the decline in output, the oil sector recorded a real growth rate of 2.57 per cent year-on-year, an improvement of 0.70 percentage points compared to Q1 2025. However, this represents a decline of 4.22 percentage points from the 6.79 per cent recorded in Q4 2025. On a quarter-on-quarter basis, the sector grew by 9.31 per cent.
The oil sector contributed 3.92 per cent to real GDP in Q1 2026, slightly below the 3.97 per cent recorded in the same period of 2025, but higher than the 2.87 per cent share in Q4 2025.
The non-oil sector grew by 3.94 per cent in real terms, higher than the 3.19 per cent recorded in Q1 2025 but slightly below the 3.99 per cent posted in Q4 2025. It remained the main driver of economic activity, supported by sectors including telecommunications, crop production, trade, manufacturing (cement), financial services, real estate, construction, and road transport.
The non-oil sector accounted for 96.08 per cent of real GDP in Q1 2026, marginally higher than the 96.03 per cent recorded in Q1 2025 but lower than the 97.13 per cent share in Q4 2025.
The Mining and Quarrying sector, which includes crude petroleum, natural gas, coal mining, metal ores and other minerals, recorded nominal growth of 13.92 per cent year-on-year. Crude oil activities led growth within the sector, expanding by 16.37 per cent, followed by quarrying and other minerals at 14.55 per cent.
Crude petroleum and natural gas remained the dominant sub-sector, accounting for 91.08 per cent of activity in Q1 2026.
In real terms, Mining and Quarrying grew by 1.89 per cent year-on-year, lower than both Q1 2025 and Q4 2025. On a quarter-on-quarter basis, the sector expanded by 4.79 per cent.
The sector contributed 4.14 per cent to real GDP in Q1 2026, down from 4.22 per cent in the corresponding period of 2025 but higher than the 3.16 per cent recorded in Q4 2025.
