Nigeria's economy grows by 0.82 percent to solidify exit from recession

The Nigerian economy improved by 0.82 percent in 2017; according to latest figures released on Tuesday by the National Bureau of Statistics (NBS).

The 0.82 growth rate represents the cumulative 2017 Gross Domestic Product (GDP) ratio for the Nigerian economy.

Nigeria slipped into a recession in August 2016 following two consecutive quarters of negative growth.

The Nigerian economy contracted by -1.58 percent in 2016.

Oil still gold

On September 5, 2017, the National Bureau of Statistics (NBS)announced that Nigeria had emerged from its worst recession in 29 years.

Nigeria’s GDP grew by 0.55% in Q2 2017 compared to -0.91% (revised) in Q1 2017 and -1.49% in Q2 2016.

Relative stability in the oil rich Niger Delta region contributed to the upturn in the country’s economic fortunes in 2017.

According to the NBS, the oil sector was estimated to have averaged production levels of 1.84 million barrels per day, which is 0.15 million barrels higher than the daily average production recorded in the first quarter of June 2017.

Diversifying

The non-oil sector did chip in with its own growthas well.

The Agriculture, Finance and Insurance, Electricity, Gas, Steam and Air-conditioning supply and other services sectors grew by 0.45% in real terms in 2017.

The latest NBS report states that GDP growth in the fourth quarter of 2017 was fuelled by growth in crop production, crude production and natural gas, metal ores, construction, transportation and storage, trade, electricity and gas production.

Crop production grew by 4.58 per cent in the fourth quarter of 2017 when juxtaposed with 3.19 per cent in the third quarter of 2017.

Crude oil still accounts for Nigeria's recent economic recovery, however.

Crude production grew by 8.38 per cent in the fourth quarter of 2017.

The metal ore sector grew by 31.86 per cent in the fourth quarter of 2017 compared to 10.70 per cent in the third quarter of 2017.

The Buhari administration seeks to diversify the nation's economy. Oil has remained the mainstay of the Nigerian economy since the 1960s.