Nigeria’s Gross Domestic Product (GDP) expanded by 3.98% year-on-year in real terms, according to new data from the National Bureau of Statistics.
This marks an improvement from the 3.86% recorded in the same quarter of 2024, signaling steady recovery across both oil and non-oil sectors.
Aggregate GDP at basic prices reached N113.59 trillion in nominal terms, outpacing the N96.16 trillion posted in Q3 2024. This represents a nominal growth rate of 18.12%, underlining the impact of price increases and rising activity across key industries.
Oil Sector Performance
Nigeria’s oil sector improved its performance during the quarter, helped by stronger crude production. Average daily output rose to 1.64 million barrels per day (mbpd), up from 1.47 mbpd in Q3 2024 but slightly lower than 1.68 mbpd recorded in Q2 2025.
Real growth in the oil sector reached 5.84% year-on-year, showing an increase of 0.18 percentage points from the 5.66% posted a year earlier. However, when compared to the robust 20.46% growth rate recorded in Q2 2025, Q3 growth weakened sharply by 14.62 percentage points.
Quarter-on-quarter, the oil sector contracted by 5.53%, reflecting the modest drop in crude output. Still, the oil sector’s contribution to real GDP in Q3 2025 stood at 3.44%, up from 3.38% in Q3 2024 but below the 4.05% seen in Q2 2025.
Non-Oil Sector
The non-oil sector maintained its dominance in the economy, expanding by 3.91% year-on-year in real terms in Q3 2025. This outperformed the 3.79% recorded in Q3 2024 and the 3.64% achieved in Q2 2025.
Growth was supported by strong activity in Agriculture (Crop Production), ICT (Telecommunications), Real Estate, Financial Institutions, Trade, Construction, and Manufacturing. These industries together provided the backbone for headline GDP performance by delivering consistent positive output.
In real terms, the non-oil sector contributed 96.56% to total GDP, slightly below the 96.62% contribution in Q3 2024 but higher than 95.95% posted in Q2 2025. The dominance of non-oil activities underscores the country’s continued economic diversification.
Mining & Quarrying
The Mining and Quarrying sector, which includes crude petroleum, natural gas, coal mining, metal ores, and other mineral activities–expanded by 7.02% year-on-year in real terms. This reflects an improvement of 3.96 percentage points compared to Q3 2024 but a slowdown of 13.84 percentage points versus Q2 2025.
Quarter-on-quarter, the sector contracted by 6.01%, partly reflecting lower oil output. Crude petroleum and natural gas remained the dominant segment, accounting for 94.43% of sector activity in Q3 2025.
Mining and Quarrying contributed 31.21% to total real GDP, highlighting its continued significance to Nigeria’s output structure. This contribution also signals the depth of hydrocarbons in the nation’s economic base despite diversification efforts.
Agriculture
Agriculture performed more strongly in Q3 2025, expanding by 3.79% year-on-year in real terms. This represents an improvement of 1.23 percentage points from Q3 2024 and 0.97 percentage points from Q2 2025.
The sector grew by an impressive 32.87% quarter-on-quarter, reflecting seasonal harvest patterns and increased crop production. Agriculture accounted for 31.21% of aggregate GDP in real terms, lower than Q3 2024 but higher than the 26.17% contribution recorded in Q2 2025.
Four segments drive agricultural performance, Crop Production, Livestock, Forestry, and Fishing, with crop production remaining the largest contributor. The sector’s stability continues to anchor national food supply and rural employment levels.
Manufacturing
Manufacturing grew by 1.25% year-on-year in real terms during the quarter. While this was stronger than Q3 2024’s performance, it fell below Q2 2025 levels by 0.34 percentage points.
Quarter-on-quarter, manufacturing output increased by 8.65%, supported by improved production levels and recovery in industrial supply chains. The sector contributed 7.62% to real GDP, lower than the 7.82% recorded in Q3 2024 and the 7.81% recorded in Q2 2025.
The modest contribution underscores continued pressure from high operating costs, currency weakness, and limited access to inputs. Still, manufacturing remains a key sector for jobs and value addition.
Construction
The construction sector posted real growth of 5.57% year-on-year in Q3 2025, though this represents a decline of 1.23 percentage points relative to the previous year. However, the sector improved by 0.30 percentage points over Q2 2025.
Quarter-on-quarter, construction output jumped 17.35%, indicating stronger implementation of infrastructure and private building projects. The sector accounted for 3.80% of real GDP, up from 3.74% in Q3 2024 and 3.60% in Q2 2025.
The stronger momentum signals renewed capital spending across public and private sectors, driven by infrastructure upgrades and urban expansion.
ICT
Information and Communication technology expanded by 5.78% year-on-year, although this was 1.02 percentage points lower than Q3 2024. Quarter-on-quarter, the sector contracted by 9.32%, reflecting normal seasonal swings.
ICT contributed 9.10% to real GDP, higher than the 8.95% recorded in Q3 2024 but lower than the 11.18% seen in Q2 2025. The sector remains a major engine of Nigeria’s digital economy, powered by telecommunications services.
Even with a quarterly dip, its large contribution underscores how digital connectivity continues to boost productivity across industries.
Real Estate
Real Estate expanded by 3.50% year-on-year in Q3 2025, though this was 2.87 percentage points lower than Q3 2024. It also fell 0.30 percentage points relative to Q2 2025.
Quarter-on-quarter, the sector grew 16.25%, reflecting stronger property transactions and project completions. Real Estate contributed 13.36% to real GDP, slightly below 13.42% in Q3 2024 but above 12.80% recorded in Q2 2025.
The data highlights ongoing demand for housing and commercial property, even with slowing growth.
Finance and Insurance
The Finance and Insurance sector delivered the strongest performance of any major segment, rising 19.63% year-on-year. This was 15.29 percentage points higher than Q3 2024 and 3.50 percentage points above Q2 2025.
Quarter-on-quarter, however, the sector declined 8.42%, showing cooling activity. The sector contributed 2.65% to real GDP, up from 2.30% in Q3 2024 but below 3.23% in Q2 2025.
This sharp annual rise reflects expanding activity in financial institutions and improving market conditions, particularly in banking and insurance services.
Outlook
Nigeria’s economy strengthened on the back of rising oil output and resilient non-oil industries. With solid contributions from agriculture, financial services, construction, ICT and mining, the Q3 2025 performance reflects broad economic recovery.
While quarterly slowdowns appeared across some sectors, the overall trend points to improved momentum heading into the year’s final quarter. Stronger oil production and continued diversification will remain central to sustaining growth.
