ICT contributed 17.9% of Nigeria GDP in Q2 2021, higher than the oil sector

ICT contributed 17.9% of Nigeria’s GDP in Q2 2021, higher than the oil sector

According to statistics released in the second quarter of 2021, the information and communications technology (ICT) sector contributed a significant 17.92 percent to Nigeria's total Gross Domestic Product (GDP). According to a report by the National Bureau of Statistics, this represents a 3.01 percent increase over the GDP contributions made in the preceding quarter of the year (NBS).

According to industry statistics released by the Nigerian Communications Commission, the telecoms industry alone contributed 14.43 percent to the country's GDP in the second quarter of 2021, accounting for a significant portion of the total contribution by the ICT sector (NCC).

The Information and Communication sector is comprised of four activities: telecommunications and information services, publishing, motion picture, sound recording, and music production, and broadcasting. Telecommunications and information services are comprised of four activities: publishing, motion picture, sound recording, and music production, and broadcasting.

Specifically, the National Bureau of Statistics (NBS) reports that the nation's GDP has increased by 5.01 percent overall as a result of the significant contributions made by the non-oil sector, which grew by 6.74 percent in real terms during the second quarter of 2021.

In a similar vein, the ICT sector experienced a growth rate of 5.55 percent in real terms year on year (YoY) in the second quarter of this year, but experienced a decrease of -9.54 percent points when compared to the second quarter of the previous year.

Since then, the ICT sector has grown to be a significant contributor to the country's GDP and has maintained steady growth, eventually displacing crude oil as the country's primary source of income.

According to the National Communications Commission, the telecom industry contributed 14.42 percent to GDP in the first quarter of 2021, which was 2.76 percent higher than in the first quarter of 2020 and 1.97 percent higher than in the fourth quarter of 2020.

How the oil and gas industry is faring

A report from the Nigeria Bureau of Statistics shows that the oil sector contributed 7.42 percent to the country's gross domestic product (GDP) in the second quarter of 2021, according to the report.

This represents a decrease of 1.83 percent compared to the previous quarter. Oil production has decreased, and crude oil prices have declined, resulting in this decrease.