Nigeria’s Economy Recalibrated to ₦372trn — But Still Trails Africa’s Top Three Giants

Nigeria’s nominal Gross Domestic Product (GDP) has surged to ₦372.82 trillion for the year 2024, following a national rebasing exercise that significantly revised the country’s economic valuation. This was revealed in a newly released report on GDP rebasing, which applied a new base year of 2019 to provide updated economic estimates.

According to official figures, the rebased GDP figures reflect substantial growth over a five-year period, rising from ₦205.09 trillion in 2019 to the current figure of ₦372.82 trillion. The exercise marks a 41.7 percent increase in nominal GDP compared to earlier projections, though slightly below the 59.7 percent jump recorded during the last rebasing in 2010.

The data also shows shifting economic dynamics, with crop production emerging as the largest contributor at 17.58 percent, followed closely by trade (17.42%), real estate (10.78%), telecommunications (6.78%), and crude petroleum and natural gas (5.85%). Notably, real estate now outranks crude oil and gas—once the country’s dominant sector—due to improved tracking of informal activities in the economy.

Real GDP growth trends reveal a recovery from a contraction of -6.96 percent in 2020 to positive growth of 0.95 percent in 2021, 4.32 percent in 2022, and 3.04 percent in 2023. The year 2024 closed with a growth rate of 3.38 percent.

In terms of sectoral composition, the services sector remains the largest driver of Nigeria’s economy, contributing 53.09 percent of GDP. Agriculture follows with 25.83 percent, while the industrial sector accounts for 21.08 percent.

Despite the expanded valuation, Nigeria retains its position as the fourth-largest economy on the African continent. The rebased figures now place the country’s GDP at approximately $242.64 billion, using an exchange rate of ₦1,536.50 to the dollar as of December 31, 2024. This figure represents an improvement from the previously reported $187.75 billion but still trails behind South Africa ($400.26 billion), Egypt ($389.05 billion), and Algeria ($263.61 billion).

The rebasing included new data sources capturing activity in digital enterprises, fintech, creative industries, and the informal economy—sectors previously underrepresented in national accounts. This recalibration provides a more comprehensive view of the Nigerian economy, though it also highlights the significant gap the country still needs to close to ascend further in Africa’s economic rankings.