How Agriculture, ICT Sectors’ Contribution in Q2 2021 Accelerated Nigeria’s GDP by 5.01% Year-on-Year

As investors continue to bet on the nation’s as Agriculture and the Information and Communications Technology (ICT) sectors, it has emerged that the sectors contributed the most, to accelerate Nigeria’s Gross Domestic Product (GDP) by 5.01 per cent in second quarter 2021, the highest quarterly growth since 2014.

The recent statistics on the 5.01 per cent jump in GDP in second quarter (Q2) of 2021 released by the National Bureau of Statistics (NBS), showed that both sectors led the non-oil sector to drive the growth in GDP.

Specifically, the ICT sector has since the ease in Covid-19 lockdown witnessed massive outlay of investment in tech startups raking in about $500 million.

According to the NBS numbers, while agriculture, which is a combination of Manufacturing and Trade, contributed 23.78 per cent to GDP during the period, the Information and Communications Technology (ICT) sector alone, contributed 17.92 within the same period, its highest ever contribution to Nigeria’s GDP.

GDP, according to the NBS statistics, grew by 5.01 per cent (year-on-year) in real terms in Q2 2021, compared to the -6.10 per cent recorded in Q2 2020.

This, according to NBC, marked three consecutive quarters of growth following the negative growth rates of -6.10 per cent and -3.62 per cent in Q2 2020 and Q3 2020 year-on-year respectively.

Analysis of the NBS numbers showed that the oil sector contributed 7.42 per cent to total real GDP in Q2 2021, compared with the 9.25 per cent seen in Q1 2021 and 8.93 per cent in Q2 2020, while the non-oil sector contributed 92.58 per cent to GDP in real terms in second quarter 2021.

Agriculture’s contribution to GDP grew to 23.78 per cent in Q2 from 22.35 per cent in Q1 2021.

A further breakdown of the figure from the agricultural sector, showed that real contribution of the manufacturing sector to GDP in Q2 2021 stood at 8.69 per cent, lower than the 9.93 per cent in Q1 2021 and 8.82 per cent in Q2 2020. The contribution of trade to GDP increased to 16.66 per cent in Q2 2021 from 15.61 per cent in the preceding quarter as well as 14.28 per cent in Q2 2020.

Also, the Information and Communication Technology (ICT) sector contributed 17.92 per cent to GDP in Q2, 2021 compared to 14.91 per cent in Q1 2021 and 17.83 per cent in the previous year.

Giving insight to ICT contribution to GDP, the Minister of Communications and Digital Economy, Dr. Isa Ibrahim Pantami, said the ICT sector contributed 17.92 per cent to the total real GDP in Q2 2021, 20.54 per cent higher than its