August 26, (THEWILL) – With virtually two years of dwindling oil receipts and the pervading bite of COVID-19 on the world economy, Nigeria’s Gross Domestic Product (GDP) beat all odds to record a growth of 5.01 percent (year-on-year) in real terms in the second quarter of 2021.
The new figures would be marking three consecutive quarters in upward trends following the negative growth rates recorded in the second and third quarters of 2020.
Statistics just released on Thursday for the second-quarter GDP report by the National Bureau of Statistics (NBS) contained what would be sounding as good news to the government.
According to the NBS, “The Q2 2021 growth rate was higher than the -6.10 percent growth rate recorded in Q2 2020 and the 0.51 percent recorded in Q1 2021 year on year, indicating the return of business and economic activity near levels seen prior to the nationwide implementation of COVID-19 related restrictions.
“The steady recovery observed since the end of 2020, with the gradual return of commercial activity as well as local and international travel, accounted for the significant increase in growth performance relative to the second quarter of 2020 when nationwide restrictions took effect.”
The report further stated that on year to date, real GDP grew 2.70 percent in 2021 compared to -2.18 percent for the first half of 2020.
However, on quarter on quarter, real GDP grew at -0.79 percent in Q2 2021 compared to Q1 2021, reflecting slightly slower economic activity than the preceding quarter due largely to seasonality.
In the second quarter of 2021, average daily oil production stood at 1.61 million barrels per day (mbpd), which is -0.19mbpd lower than the average daily production of 1.81mbpd recorded in the same quarter of 2020 and -0.10mbpd lower than the 1.72mbpd recorded in the first quarter of 2021.
Real growth of the oil sector was –12.65 percent (year-on-year) in Q2 2021 indicating a decrease of –6.02 percent points relative to the growth rate recorded in the corresponding quarter of 2020.
“Performance in the non-oil sector grew by 6.74 percent in real terms during the reference quarter (Q2 2021). The Q2 2021 growth rate was higher by 12.80 percent points compared to the rate recorded in the same quarter of 2020 and 5.95 percent points higher than the first quarter of 2021.
“During the quarter, the non-oil sector was driven mainly by growth in trade, information and communications (Telecommunications), transportation (Road Transport), electricity, agriculture (Crop Production) and manufacturing (Food, Beverage & Tobacco), reflecting the easing of movement, business and economic activity across the country relative to the same period a year earlier.”
