NBS Report: Nigeria’s Unemployment Rate Rises To 5.3% In Q1 2024

NBS Report: Nigeria’s Unemployment Rate Rises To 5.3% In Q1 2024

Nigeria’s unemployment rate saw a rise of 1.2 percentage points, reaching 5.3% in the first quarter of 2024 (Q1 2024), compared to 4.1% in the corresponding period of 2023.

This data was revealed in the latest Labour Force Survey Report published by the National Bureau of Statistics (NBS).

According to the report, the unemployment rate increased to 5.3% from the 5.0% recorded in Q3 2023.

A breakdown by gender revealed that unemployment among men stood at 4.3%, while for women, it was notably higher at 6.2%.

In terms of location, urban unemployment reached 6.0%, while rural areas experienced a lower rate of 4.3% during the same period.

The report also provided insights into youth unemployment, noting that the rate for young Nigerians dropped slightly to 8.4% in Q1 2024 from 8.6% in Q3 2023.

When examined by educational qualifications, unemployment rates varied: individuals with post-graduate degrees had a relatively low rate of 2.0%, those with post-secondary education faced a higher rate at 9.0%, secondary school graduates saw a rate of 6.9%, and those with only primary education had an unemployment rate of 4.0%.

In terms of underemployment, the report showed a decline. Underemployment refers to individuals working fewer than 40 hours a week but willing and able to work additional hours.

The underemployment rate dropped to 10.9% in Q1 2024, down from 12.2% in Q1 2023. The gender breakdown for underemployment showed that 8.5% of men and 12.5% of women were affected. By residence, the underemployment rate was 9.7% in urban areas and 11.8% in rural areas.

Looking at employment figures for working-age Nigerians, the NBS noted that 73.2% of the country’s working-age population was employed in Q1 2024, a slight decline from 75.6% in Q3 2023.

The employment-to-population ratio, which measures the percentage of the working-age population that is employed, stood at 74.2% for men and 72.3% for women. The report also highlighted that the ratio was lower in urban areas (69.5%) compared to rural areas (78.9%).

Additionally, self-employment figures showed a slight decline, with 84% of Nigerians engaged in self-employment in Q1 2024, down from 86% in Q1 2023. However, the proportion of employed individuals working primarily as employees rose to 16.0% in Q1 2024, up from 12.7% in Q3 2023.

Self-employment remained more common among women (87.9%) compared to men (79.9%), and was particularly high in rural areas (91.9%) compared to urban regions (78.2%).