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East Africa Frontline News

NextFrontier Africa is a media platform spotlighting Africa’s emerging opportunities in technology, tourism, aviation, agriculture, health, logistics, real estate, trade, education, and e-commerce.

July 25.2025

2 Minutes Read

Nigeria's Non-Oil Sector Drives 96.03% of GDP Growth: What Exporters Need to Know

Nigeria non-oil sector GDP growth: worker in industrial plant.

Understanding Nigeria's Economic Landscape

Nigeria's non-oil sector has emerged as a powerhouse in driving economic growth, accounting for a staggering 96.03% of GDP growth in the first quarter of 2025. This positive shift in the economy illustrates a broader transition, with services such as telecommunications, real estate, and financial services playing pivotal roles. As reported by the National Bureau of Statistics (NBS), the economy grew by 3.13% year-on-year, a significant increase from the previous year's 2.27%.

Why Rebasing Matters

The recent rebasing of Nigeria's GDP to 2019 allows for more accurate comparisons and reflects structural changes in the economy. By replacing the older 2010 base year, the NBS aims to encapsulate emerging sectors that were previously underrepresented, including fintech and digital services. As Adeyinka Ogunnubi noted, this new data provides a credible baseline for policymakers to craft reforms that facilitate progress rather than obsessing over global rankings.

Impact on Trade and Commerce

This shift is particularly vital for exporters and e-commerce businesses, who can gain insights from the expansive non-oil growth. As the African Continental Free Trade Area (AfCFTA) creates new opportunities for intra-African trade, Nigerian businesses must adapt to evolving market dynamics and leverage digital avenues. Understanding these economic shifts fosters strategic planning and capitalizes on emerging cross-border trade opportunities.

Inspecting the Non-Oil Growth

The non-oil sector's performance was bolstered by notable gains in crop production, telecommunications, and construction. This growth indicates a resilient economy, but contrasts sharply with the oil sector's lethargic growth of 1.87% during the same period. Such disparities raise questions about the sustainability of reliance on oil revenues and signify the urgency for diversification.

Taking Action in Trade

As the global market continues to evolve, Nigerian exporters and importers must adapt to the insights provided by the NBS's updated economic data. Embracing innovative strategies in commerce and harnessing the potential of the digital economy can empower businesses to capitalize on new trade opportunities. As industries modernize, the actionable insights derived from this economic growth may contribute to a stronger, more competitive Nigeria in a global context.

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Nigeria's Non-Oil Sector Drives 96.03% of GDP Growth: What Exporters Need to Know

Understanding Nigeria's Economic Landscape

Why Rebasing Matters

Impact on Trade and Commerce

Inspecting the Non-Oil Growth

Taking Action in Trade

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