Nigeria: Economy#
Following an April 2014 statistical "rebasing" exercise, Nigeria has emerged as Africa's largest economy, with 2015 GDP estimated at $1.1 trillion. Oil has been a dominant source of income and government revenues since the 1970s. Following the 2008-9 global financial crises, the banking sector was effectively recapitalized and regulation enhanced. Nigeria’s economic growth over the last five years has been driven by growth in agriculture, telecommunications, and services. Economic diversification and strong growth have not translated into a significant decline in poverty levels, however - over 62% of Nigeria's 170 million people still live in extreme poverty.Despite its strong fundamentals, oil-rich Nigeria has been hobbled by inadequate power supply, lack of infrastructure, delays in the passage of legislative reforms, an inefficient property registration system, restrictive trade policies, an inconsistent regulatory environment, a slow and ineffective judicial system, unreliable dispute resolution mechanisms, insecurity, and pervasive corruption. Regulatory constraints and security risks have limited new investment in oil and natural gas, and Nigeria's oil production has contracted every year since 2012.
Because of lower oil prices, GDP growth in 2015 fell to around 3%, and government revenues declined, while the nonoil sector also contracted due to economic policy uncertainty. President BUHARI, elected in March 2015, has established a cabinet of economic ministers that includes several technocrats, and he has announced plans to increase transparency, diversify the economy away from oil, and improve fiscal management. The government is working to develop stronger public-private partnerships for roads, agriculture, and power. The medium-term outlook for Nigeria is positive, assuming oil output stabilizes and oil prices recover.
Economic Facts#
| GDP (purchasing power parity) | $1.089 trillion (2016 est.) $1.108 trillion (2015 est.) $1.08 trillion (2014 est.) note: data are in 2016 dollars |
|---|---|
| GDP (official exchange rate) | $415.1 billion (2015 est.) |
| GDP - real growth rate | -1.7% (2016 est.) 2.7% (2015 est.) 6.3% (2014 est.) |
| GDP - per capita (PPP) | $5,900 (2016 est.) $6,200 (2015 est.) $6,200 (2014 est.) note: data are in 2016 dollars |
| Gross national saving | 13.1% of GDP (2016 est.) 12.4% of GDP (2015 est.) 16% of GDP (2014 est.) |
| GDP - composition, by end use | household consumption: 79% government consumption: 7.2% investment in fixed capital: 14.2% investment in inventories: 0.7% exports of goods and services: 9% imports of goods and services: -10.1% (2016 est.) |
| GDP - composition, by sector of origin | agriculture: 21.1% industry: 19.4% services: 59.5% (2016 est.) |
| Agriculture - products | cocoa, peanuts, cotton, palm oil, corn, rice, sorghum, millet, cassava (manioc, tapioca), yams, rubber; cattle, sheep, goats, pigs; timber; fish |
| Industries | crude oil, coal, tin, columbite; rubber products, wood; hides and skins, textiles, cement and other construction materials, food products, footwear, chemicals, fertilizer, printing, ceramics, steel |
| Industrial production growth rate | -4.7% (2016 est.) |
| Labor force | 58.8 million (2016 est.) |
| Labor force - by occupation | agriculture: 70% industry: 10% services: 20% (1999 est.) |
| Unemployment rate | 23.9% (2011 est.) 4.9% (2011 est.) |
| Population below poverty line | 70% (2010 est.) |
| Household income or consumption by percentage share | lowest 10%: 1.8% highest 10%: 38.2% (2010 est.) |
| Distribution of family income - Gini index | 43.7 (2003) 50.6 (1997) |
| Budget | revenues: $11.4 billion expenditures: $21.21 billion (2016 est.) |
| Taxes and other revenues | 2.7% of GDP (2016 est.) |
| Budget surplus (+) or deficit (-) | -2.4% of GDP (2016 est.) |
| Public debt | 13.2% of GDP (2016 est.) 11.5% of GDP (2015 est.) |
| Fiscal year | calendar year |
| Inflation rate (consumer prices) | 15.3% (2016 est.) 9% (2015 est.) |
| Central bank discount rate | 4.25% (31 December 2010) 6% (31 December 2009) |
| Commercial bank prime lending rate | 18% (31 December 2016 est.) 16.85% (31 December 2015 est.) |
| Stock of narrow money | $33.51 billion (31 December 2016 est.) $43.62 billion (31 December 2015 est.) |
| Stock of broad money | $71.38 billion (31 December 2016 est.) $101.9 billion (31 December 2015 est.) |
| Stock of domestic credit | $80.77 billion (31 December 2016 est.) $111.7 billion (31 December 2015 est.) |
| Market value of publicly traded shares | $49.97 billion (31 December 2015 est.) $63.47 billion (31 December 2014 est.) $80.61 billion (31 December 2013 est.) |
| Current account balance | -$2.856 billion (2016 est.) -$15.44 billion (2015 est.) |
| Exports | $33.27 billion (2016 est.) $45.89 billion (2015 est.) |
| Exports - commodities | petroleum and petroleum products 95%, cocoa, rubber (2012 est.) |
| Exports - partners | India 18.2%, Netherlands 8.5%, Spain 8.2%, Brazil 8.2%, South Africa 7.8%, France 5.2%, Japan 4.5%, Cote dIvoire 4.2%, Ghana 4% (2015) |
| Imports | $36.4 billion (2016 est.) $52.33 billion (2015 est.) |
| Imports - commodities | machinery, chemicals, transport equipment, manufactured goods, food and live animals |
| Imports - partners | China 25.7%, US 6.4%, Netherlands 6.1%, India 4.3% (2015) |
| Reserves of foreign exchange and gold | $23.47 billion (31 December 2016 est.) $29.07 billion (31 December 2015 est.) |
| Debt - external | $39.1 billion (31 December 2016 est.) $32.27 billion (31 December 2015 est.) |
| Stock of direct foreign investment - at home | $98.73 billion (31 December 2016 est.) $95.82 billion (31 December 2015 est.) |
| Stock of direct foreign investment - abroad | $13.71 billion (31 December 2016 est.) $12.41 billion (31 December 2015 est.) |
| Exchange rates | nairas (NGN) per US dollar - 246.2 (2016 est.) 192.73 (2015 est.) 192.73 (2014 est.) 158.55 (2013 est.) 156.81 (2012 est.) |