The GDP in Nigeria shrank by 2.1 percent year-on-year in the second quarter of 2016, compared to a 0.36 percent drop in the previous period and worse than market consensus of a 1.5 percent decline. It is the first contraction in 20 years due to a decline in oil prices.
The oil sector recorded a 17.48 percent contraction (-15.59% in Q1) due to lower oil production and prices. Oil output was estimated at 1.69 million barrels per day (mbpd) during the second quarter, 0.42 mbpd lower than in the preceding period.
Industrial production shrank 9.53 percent (-5.49 percent in Q1): manufacturing declined 3.36 percent (-7 percent in Q1), mining and quarrying fell by 17.19 percent (-2.96 percent in Q1); electricity, gas, steam and water supply dropped 10.46 percent (-44.46 percent in Q1) and construction fell 6.28 percent (-5.37 percent in Q1).
The non-oil sector fell 0.38 percent, from a 0.18 percent decline in the previous period. Services dropped 1.25 percent, following a 0.8 percent increase in the previous period. Information and communication rose at a slower pace of 1.35 percent (+4.07 percent in Q1); internal trade went down by 0.03 percent (+2.02 percent in Q1); while real estate fell 5.27 percent (-4.69 percent in Q1) and finance and insurance decreased 10.82 percent (-11.28 percent in Q1).
Agriculture expanded 4.53 percent, higher than 3.09 percent in Q1.
Quarter on quarter, the GDP expanded 0.82 percent, following a 13.7 percent fall in the previous period.
8/31/2016 7:31:36 PM