BY BAMIDELE FAMOOFO
Slow economic activities in the second quarter of fiscal year 2022 has been attributed to a 1.47 percent year on year drop in the Gross Domestic Product figure of Africa’s largest economy released by the National Bureau of Statistics at the weekend.
Nigeria’s Gross Domestic Product grew by 3.54 percent (year-on-year) in real terms in the second quarter of 2022. This growth rate declined from 5.01 percent in the second quarter of 2021 when rapid growth was recorded following the toll the COVID-19 pandemic exacted on the economy in Q2 2020.
In addition, the recent rising prices have adversely impacted on the second quarter 2022 performance. The Q2, 2022 growth rate decreased by 1.47 percent points from 5.01 percent growth rate recorded in Q2 2021, and increased by 0.44 percent points relative to 3.11 percent in Q1 2022.
However, quarter-on-quarter, real GDP grew at -0.37 percent in Q2 2022, reflecting lower economic activity in Q2 2022 than in the preceding quarter.
In the quarter under review, aggregate GDP stood at N45, 004,520.89 million about (N45 trillion) in nominal terms. This performance is higher when compared to the second quarter of 2021 which recorded aggregate GDP of N39, 123,713.32 million about (N39.12 trillion), indicating a year-on-year nominal growth rate of 15.03 percent.
The nominal GDP growth rate in Q2 2022 was higher relative to the 14.99 percent growth recorded in the second quarter of 2021 and higher compared to the 13.25 percent growth recorded in the preceding quarter. For better clarity, the Nigerian economy has been classified broadly into the oil and non oil sectors.
