The nation’s Gross Domestic Products (GDP) grew year-on-year (YoY) by 5.0 per cent in the second quarter of 2021 (Q2’21). According to The National Bureau of Statistics (NBS) which disclosed this Thursday, said the Q2’21 growth rate was higher than the 0.51 per cent recorded in Q1’21. The rise marked the third consecutive quarter of growth following the negative growth rates recorded in the second and third quarters of 2020. NBS in its GDP report for Q2’21 noted that the Oil Sector’s contribution to GDP fell by 1.83 per cent points to 7.42 per cent in Q2’21 from 9.25 per cent in Q1’21. The second-quarter growth rate was higher than the -6.10 per cent growth rate recorded in the second quarter of 2020 and the 0.51 per cent recorded in the first quarter of 2021. The bureau referenced the steady recovery observed since the end of 2020, with the gradual return of commercial activity as well as local and international travel, as the cause of the increase in growth performance relative to Q2’20 when nationwide restrictions took effect.
NBS stated: “GDP grew by 5.01 per cent(year-on-year, YoY) in real terms in Q2’21, marking three consecutive quarters of growth following the negative growth rates recorded in the second and third quarters of 2020.
“The Q2’21 growth rate was higher than the -6.10 per cent growth rate recorded in Q2’20 and the 0.51 per cent recorded in Q1’21 YoY, indicating the return of business and economic activity near levels seen prior to the nationwide implementation of COVID-19 related restrictions.
“The steady recovery observed since the end of 2020, with the gradual return of commercial activity as well as local and international travel, accounted for the significant increase in growth performance relative to the second quarter of 2020 when nationwide restrictions took effect.
Year to date, real GDP grew 2.70 per cent in 2021 compared to -2.18 per cent for the first half of 2020.
“Nevertheless, QoQ, real GDP grew at -0.79 per cent in Q2’21 compared to Q1’21, reflecting slightly slower economic activity than the preceding quarter due largely to seasonality.
Africa’s biggest economy went into recession in 2020 after two quarters of economic decline as a result of the coronavirus pandemic that shut businesses and economies globally.
