Nigeria’s best and worst-performing sectors in Q2

Nigeria’s gross domestic product (GDP) grew by 5.01 percent in the second quarter of 2021, the most since 2014, thanks to the easing of COVID-19 restrictions that hurt growth last year.

According to the National Bureau of Statistics’ (NBS) report released Thursday, this growth also marks three consecutive quarters of growth following the negative growth rates recorded in the second and third quarters of 2020.

“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,” the report stated.

According to the report, the following were the best and worst-performing sectors in the quarter.

Road transport

The Road transport sector emerged as the best performing sector in Q2’2021, growing 92.38 percent compared with a contraction of 23.75 percent in Q1’2021 and a contraction of 51.37 percent in Q2’2020.

Electricity, gas, steam and air conditioning supply

The electricity, gas, steam, and air conditioning supply sector also grew by a whopping 78 percent in Q2’21 compared with a growth of 8.66 percent in Q1’21 and a contraction of 3 percent in the second quarter of last year.

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Transport and storage

The transport and storage sector emerged as the third performing sector in Q2’21, growing by 76 percent compared with 121.89 percent in the Q1’2021 and a contraction of -49.22 percent in Q2’2020.

Rail transport and pipelines

The rail transport and pipeline sector took the fourth spot, growing by 53 percent in the second quarter of 2021 compared with a contraction of 63.32 percent in the same period last year. The sector also contracted by 7.3 percent in the first half of 2021.

Coal mining

The coal mining sector took the fifth spot with a growth of 34.1 percent Q2’21 compared with 10.5 percent in the same time last year. The coal mining sector grew by 0.66 percent in the first quarter of 2021.

Worst performers in Q1 2021

While some sectors performed well, some other sectors performed poorly. These sectors are:

Oil refining contracted 46.7 percent in the second quarter of 2021 compared with a contraction of 6.63 percent in the same period last year and a contraction of 57 percent recorded in Q1’20.

Crude petroleum and natural gas

The crude petroleum and natural gas sector contracted by 12.6 percent in Q2’21 compared with a contraction of 6.63 percent in the same period of 2020. This sector also contracted by 2.2 percent in Q1’21.

Mining and quarrying

This sector contracted by 12 percent in Q2’21 compared with a contraction of 2.19 percent in Q1’21, and 6.6 percent in Q2 ’20.

Financial institution

In the second quarter of 2021, the financial sector contracted 4.5 percent compared with a growth of 28.41 percent Q2’20. The sector also grew 0.15 percent in the Q1’21.

Financial and insurance

The financial and insurance sector contracted by 2.48 percent in Q2’21 compared with a growth of 18.49 percent in Q2’20. The sector contracted by 0.46 percent in Q1 ’21.