How GDP rebasing spotlights growing non-oil sector

The recent GDP rebasing in Nigeria has highlighted the growing non-oil sector, indicating a shift away from oil dependence. The National Bureau of Statistics updated the GDP basket using a 2019 base year, revealing a 41% increase in the size of the economy from 2019 to 2024.

Real GDP growth has also rebounded, with real estate overtaking oil and gas as a major contributor to GDP. While some sectors like real estate, finance, and ICT showed growth, others like coal mining and textiles contracted.

Experts warn that the dominance of the oil sector in government revenue exposes structural weaknesses. The rebased GDP shows Nigeria's economy as 30% larger than previously estimated, but challenges remain in ensuring sustainable growth and development.

The new data provides a better tool for policymaking and highlights the need for dynamic policies to match the evolving economy.