Nigeria Employers Consultative Association, NECA, has given reasons the nation’s economy is still struggling, despite its resilience in the second quarter of 2024.
‘’Nigeria’s economy demonstrated resilience in the second quarter of 2024, with a Gross Domestic Product, GDP, growth of 3.19 per cent year-on-year in real terms.
“This growth rate surpasses the 2.51 per cent recorded in the same quarter of 2023 and is aiso higher than the 2.98 per cent growth seen in the first quarter of 2024.
These figures reflect a positive economic trajectory, driven primarily by strong performances in the services and industry séctors,’’ the National Bureau of Statistics, NBS, had said in its latest report.
However, analysing the report, NECA’s Director-General, Mr Wale-Smatt Oyerinde, said in Lagos: “The services sector emerged as the leading force behind this growth, recording a robust 3.79 per cent increase and contributing 58.76 per cent to the aggregate GDP.
‘’This sector’s expansion underscores its critical role in Nigeria’s economic fabric, highlighting the importance of continued investment in service-oriented industries such as telecommunications, finance and real estate.
“The industry sector also showed significant improvement, growing by 3.53 per cent in Q2 2024, a notable recovery from the -1.94 per cent contraction in the same quarter of the previous year.
‘’This sector’s turnaround signals a potential revival in manufacturing and construction activities, areas vital for job creation and economic stability. Agriculture, while essential, grew by a modest 1.41 per cent, slightly down from the 1.50 per cent growth recorded in Q2 2023.
“This indicates a need for strategic interventions to enhance agricultural productivity, especially considering the sector’s crucial role in food security and rural development.