Fri, 20 May 2022

Nigeria's economy grew 3.4 pct in 2021

Xinhua
12 May 2022, 03:30 GMT+10

ABUJA, May 11 (Xinhua) -- Nigeria's economy has seen a strong rebound in 2021, with the annual Gross Domestic Product (GDP) growth hitting 3.4 percent, indicating a steady improvement from the economic recession in 2020, the National Bureau of Statistics (NBS) reported on Wednesday.

The latest report on the economy by the NBS shows the country's economy in the second half of 2021 maintained a strong rebound since the second quarter when the real GDP at basic prices grew by 5.01 percent.

In the third quarter of 2021, the GDP grew by 4.03 percent on a year-on-year basis, while the GDP growth in the fourth quarter of 2021 stood at 3.98 percent, the NBS reported, bringing the annual GDP growth in real terms to 3.4 percent for 2021, compared to a contraction of 1.92 percent in 2020 and a mild growth of 2.27 percent in 2019.

The good economic performance in 2021 could be attributed to a great extent to the growth in household consumption, according to the report, with the annual growth rate in real household consumption expenditure standing at 25.65 percent, compared to a shrink of 1.69 percent in 2020.

Rising oil prices and the government's interventions since the onset of COVID-19 could also be major factors that have enabled the strong rebound, local observers said.

The Central Bank of Nigeria announced in March 2020 a series of policy measures to cushion the impact of the pandemic, including interest rate reduction and the creation of targeted credit facilities for households and small and medium-sized enterprises, among others.

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