Nigeria Economy
Is Nigeria a wealthy country?
Nigeria, located in West Africa, has one of the largest economies on the continent.
GDP and Sector Composition: Nigeria's economy is classified as mixed and emerging, combining market and command elements. It is diverse, with sectors such as agriculture, oil and gas, telecommunications, manufacturing, and services contributing to its GDP. However, the oil sector has historically been the dominant force in Nigeria's economy, accounting for a significant portion of government revenue and export earnings.
Oil Dependency: Nigeria heavily relies on its oil sector, which accounts for a substantial portion of government revenue and foreign exchange earnings. Fluctuations in global oil prices can significantly impact Nigeria's economy, affecting government spending, investment levels, and overall economic performance.
Agriculture: Agriculture is a crucial sector in Nigeria, employing a large portion of the population and contributing significantly to GDP. However, the sector faces challenges such as low productivity, inadequate infrastructure, and limited access to finance and technology. Efforts to modernize and improve the agricultural industry are ongoing, with initiatives to increase productivity, promote value addition, and enhance food security.
Infrastructure: Nigeria faces significant infrastructure challenges, including inadequate transportation networks, power shortages, and limited access to clean water and sanitation facilities. Addressing these infrastructure deficits is critical for supporting economic growth, attracting investment, and improving Nigerians' overall quality of life.
Foreign Investment: Nigeria has attracted foreign investment across various sectors, including telecommunications, banking, and manufacturing. However, corruption, security concerns, and bureaucratic hurdles have sometimes deterred investors. Efforts to improve the business environment, enhance transparency, and strengthen institutions are essential for attracting foreign investment and promoting sustainable economic growth.
Youth Unemployment: Nigeria has a large and youthful population, but youth unemployment remains a significant challenge. Limited job opportunities, skills mismatches, and underemployment contribute to social and economic pressures. Addressing youth unemployment requires comprehensive education and skills development strategies, entrepreneurship support, and job creation initiatives.
Government Policies and Reforms: The Nigerian government has implemented various economic policies and reforms to promote growth, diversification, and financial stability. These include initiatives to improve the ease of doing business, enhance fiscal management, and attract investment in key sectors. However, the success of these policies often depends on practical implementation and addressing underlying structural challenges.
Challenges: Nigeria faces several challenges that hinder its economic development, including corruption, insecurity, inadequate infrastructure, weak institutions, and policy inconsistencies. Addressing these challenges requires sustained efforts from the government, private sector, civil society, and international partners.
Nigeria Economy Data
What is the GDP of Nigeria?
| Currency Name and Code | Nigerian Naira (NGN) |
| GDP - Gross Domestic Product (PPP) | $1,013,530,000,000 (USD) |
| GDP - official exchange rate | $493,000,000,000 (USD) |
| GDP - real growth rate | 4% |
| GDP Per Capita | $6,400.00 (USD) |
| GDP by Sector- agriculture | 20.3% |
| GDP by Sector- Industry | 23.6% |
| GDP by Sector- services | 56.1% |
| GDP - composition, by end use |
household consumption: 74.1% government consumption: 7.7% investment in fixed capital: 16.8% investment in inventories: 0% exports of goods and services: 13% imports of goods and services: -11.6% |
| Population Below Poverty Line | 70% |
| Inflation Rate | 13.9% |
| Labor Force | 48,330,000 |
| Labor Force By Occupation- agriculture | 70% |
| Labor Force By Occupation- industry | 10% |
| Labor Force By Occupation- services | 20% |
| Unemployment Rate | 4.9% |
| Fiscal Year | calendar year |
| Annual Budget | $18,160,000,000 (USD) |
| Budget Surplus or Deficit - percent of GDP | -1.5% |
| Public Debt (% of GDP) | 11.2% |
| Taxes and other revenues - percent of GDP | 4.8% |
| Major Industries | crude oil, coal, tin, columbite, palm oil, peanuts, cotton, rubber, wood, hides and skins, textiles, cement and other construction materials, food products, footwear, chemicals, fertilizer, printing, ceramics, steel |
| Industrial Growth Rate | 4% |
| Agriculture Products | cocoa, peanuts, palm oil, corn, rice, sorghum, millet, cassava (tapioca), yams, rubber; cattle, sheep, goats, pigs; timber; fish |
| Exchange Rate per US Dollar | naira (NGN) |
| Child Labor - % of children ages 5-14 | 29% |
| Child Labor - # of children ages 5-14 | 11,396,823 |
| Commercial Bank Prime Lending Rate | 15.5% |