By Seun Ibiyemi
The Centre for the Promotion of Private Enterprise (CPPE) has stated that Nigeria’s economy is not only on a recovery path but also gaining traction despite lingering structural and macroeconomic challenges.
This is as the Policy think-thank hailed the recent growth fugures released by the National Bureau Statustics (NBS) highlighting that Nigeria’s real Gross Domestic Product (GDP) expanded by 4.23 per cent year-on-year.
The growth marks a sharp acceleration from 3.13 per cent recorded in Q1 2025 and a stronger performance compared to 3.48 per cent in the same period last year.
The oil and gas sector emerged as the major growth driver, surging by 20.46 per cent, its best performance in years on the back of policy reforms, improved governance at NNPC, and favorable global market conditions.
Agriculture also rebounded, growing 2.82 per cent compared to a marginal 0.07 per centin Q1, supported by improved rainfall and government interventions.
Services remained the backbone of the economy, contributing 56.53 per cent of GDP.
The financial services sector posted a robust 16.18 per cent growth, while ICT expanded 6.60 per cent.
Conversely, trade and real estate slowed, reflecting weak consumer demand and affordability pressures.
Other bright spots included a 57.53 per cent rebound in coal mining and a recovery in livestock production, while challenged sectors such as textiles and motor vehicle assembly continued to contract.
Despite the encouraging numbers, CPPE stressed the need for structural reforms to sustain the momentum, including reducing energy and logistics costs, expanding infrastructure investment, boosting credit access for farmers and MSMEs, and promoting local content.
“Q2 2025 is a clear statement that Nigeria’s economy is moving beyond stabilization toward stronger recovery.
But translating growth into jobs, poverty reduction, and shared prosperity requires unlocking productivity in agriculture, manufacturing, construction, real estate, and trade,” said Dr. Muda Yusuf