Nigeria’s Economy Records 3.46% Growth in Q3
Nigeria experienced a notable economic growth of 3.46% in the third quarter, primarily fueled by the rapid expansion of its services sector. This positive development marks a significant rebound for the country under the leadership of President Bola Tinubu. The growth comes as a welcome relief for Tinubu, who has been grappling with economic instability following the elimination of fuel subsidies last year.
The decision to remove fuel subsidies led to a surge in fuel prices, exacerbating the already high inflation rates and triggering widespread protests across Nigeria. Despite the initial challenges, experts believe that Tinubu’s reforms have put the country’s economy on a path towards sustainable growth. The diversification of the economy into non-oil sectors such as telecommunications and financial services is seen as a crucial step towards building a more resilient economic foundation for Nigeria.
While the expansion of non-oil sectors is promising, oil production remains a fundamental pillar of Nigeria’s economy. The country’s 2025 budget aims to increase crude oil output, with a target price of $75 per barrel. Additionally, the government has been promoting the conversion of vehicles to natural gas as a means to potentially reduce transportation costs by up to 50% in the future.
Source: SEMAFOR
