Nigeria’s crude oil production increased to an average of 1.51m barrel per day in the first quarter of 2023.
The National Bureau of Statistics, NBS reported this in its latest report on “Nigeria Gross Domestic Product Report Q1 2023”..
It reported that oil production in the country had moved above one million barrels per day for the first since the third quarter of 2021.
The NBS also reported that the country’s Gross Domestic Product (GDP) grew in real terms by 2.31 per cent in the first quarter, while in nominal terms, the aggregate GDP stood at N51.2 trillion, higher than the N45.3 trillion recorded in the fourth quarter of 2022.
“Overview of GDP in Quarter One 2023 Nigeria’s Gross Domestic Product (GDP) grew by 2.31 per cent (year-on-year) in real terms in the first quarter of 2023.
“This growth rate declined from 3.11 per cent recorded in the first quarter of 2022, and 3.52 per cent in the fourth quarter of 2022.”
The NBS attributed the reduction in growth in real terms to the adverse effects of the cash crunch experienced during the quarter.
It said the performance of the GDP in the first quarter of 2023 was driven mainly by the services sector, which recorded a growth of 4.35 per cent and contributed 57.29 per cent to the aggregate GDP.
The report said that the non-oil sector continues to contribute the highest share to Nigeria’s GDP, contributing 93.79 per cent while the oil secor contributed 6.21 per cent.
Similarly, the non-oil sector grew by 2.77 per cent in real terms during the period which was lower than the by 3.30 per cent points compared to the rate recorded in the same quarter of 2022 and 1.67 per cent points lower than the fourth quarter of 2022.
Growth in the non-oil sector was driven in the first quarter of 2023 mainly by information and Communication (telecommunication), financial and insurance (financial institutions); trade; manufacturing (food, beverage & tobacco); construction; and transportation and storage (road transport), accounting for positive GDP growth.
“On sectoral growth, the agriculture sector grew by -0.90 per cent, lower than the growth of 3.16 per cent recorded in the first quarter of 2022.
“Although the growth of the industry sector improved to 0.31 per cent relative to -6.81 percent recorded in the first quarter of 2022, agriculture, and the industry sectors contributed less to the aggregate GDP in the quarter under review compared to the first quarter of 2022.
“The real growth of the oil sector was -4.21 per cent (year-on-year) in Q1 2023, indicating an increase of 21.83 percent points relative to the rate recorded in the corresponding quarter of 2022 (-26.04 per cent).
“Growth increased by 9.18 per cent points when compared to Q4 2022 which was –13.38 percent. On a quarter-on-quarter basis, the oil sector recorded a growth rate of 20.68 percent in Q1 2023.
“The Oil sector contributed 6.21 per cent to the total real GDP in Q1 2023, down from the figure recorded in the corresponding period of 2022 and up from the preceding quarter, where it contributed 6.63 per cent and 4.34 per cent respectively.”
