Nigeria’s Economy Grows 3.13% in Q1 2025 After GDP Rebasing; Real Estate Surpasses Crude Oil as Third-Largest Sector

Nigeria’s Economy Grows 3.13% in Q1 2025 Following Major GDP Rebasing; Real Estate Overtakes Crude Oil as Third-Largest Sector

ABUJA, July 21, 2025 — Nigeria’s economy posted a 3.13% year-on-year growth in the first quarter of 2025. the National Bureau of Statistics (NBS) announced on Monday after a comprehensive GDP rebasing exercise that adjusted the economic calculations to better reflect the current realities.

The rebased gross domestic product now stands at ₦372.82 trillion ($243.66 billion) substantially higher than previous estimates and indicating a more expansive economic landscape.

This rebasing used 2019 as the new base year and incorporated previously underrepresented sectors such as marine, fishing, shipping and ports, arts, culture, tourism, e-commerce, modular refineries, informal economic activities, and digital services.

The data revealed a significant structural shift in the composition of Nigeria’s economy. Notably, the real estate sector has surpassed crude oil to become the third-largest contributor to GDP underscoring the rising importance of property and construction activities within the economy.

Sector-wise, the services sector led growth with a 4.33% increase and contributed 57.5% to total GDP. Key contributors include telecommunications, real estate, financial institutions, trade, construction, and food and beverage manufacturing.

Meanwhile, the industrial sector expanded by 3.42%, while agriculture showed modest growth of 0.07%, recovering from a contraction in the previous year.

The rebasing exercise, which was the most significant since 2014, provides deeper insights into Nigeria’s economic activities and will help policymakers tailor fiscal and monetary policies more effectively.

It also assists investors and analysts in better understanding the country’s economic potential as the previously excluded sectors are now formally recognized and measured.

The revised GDP highlights Nigeria’s evolving economic structure beyond its traditional oil dependency, signaling shifts towards a more diversified and service-oriented economy under President Bola Tinubu’s administration.

At a news conference in the capital, the NBS Chief emphasized that this rebasing brings Nigeria’s economic data in line with global standards, capturing new realities to ensure better governance and economic planning.

This rebasing marks an important milestone in Nigeria’s economic reporting, allowing for a more accurate picture of its economic size and growth drivers