Nigeria’s economy grew by 4.43% year-on-year in the second quarter of 2026, up from 3.89% in the first quarter, according to the National Bureau of Statistics. Growth benefited from both improved oil-sector performance and continued expansion in non-oil activities.
The result confirms a gradual improvement in Nigeria’s economic trajectory. Average oil production reached 1.72 million barrels per day in the second quarter, compared with 1.55 million barrels per day in the first quarter.
The recovery in oil production provides important support for public revenues and external accounts. But the simultaneous expansion of the non-oil sector is arguably more significant for long-term economic diversification.
Nigeria seeks more diversified growth
The country recorded real GDP growth of 3.87% in 2025, following 3.38% in 2024. However, the performance remains below the government’s target of 7% annual growth by 2027.
To reach a higher growth rate, Nigeria must increase investment in industry, agriculture, infrastructure and energy. Diversification remains particularly important for reducing vulnerability to oil-price fluctuations. Higher oil production can provide financial resources for transformation, but job creation will depend primarily on expanding non-oil sectors.
