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Nigeria’s economy grew by 4.07 per cent year-on-year in real terms in the fourth quarter (Q4) of 2025.

This is according to the latest Gross Domestic Product (GDP) report released by the National Bureau of Statistics (NBS) on Friday.

The growth rate represents an improvement from the 3.76 per cent recorded in the corresponding period of 2024, signalling a stronger year-end performance.

The latest data also shows improved contributions from agriculture, industry, and oil, while the services sector retained its position as the dominant driver of output.

The NBS report shows broad-based expansion across key sectors of the economy in Q4 2025.

Growth was supported by stronger performances in agriculture, industry, oil, and non-oil activities compared to the same period in 2024.

Overall, the figures indicate a steady improvement in economic performance compared to the previous year, despite mixed quarter-on-quarter outcomes.

The oil sector recorded a real growth rate of 6.79 per cent year-on-year in Q4 2025, reflecting a 4.71 percentage point increase from the 2.08 per cent posted in Q4 2024. It also improved by 0.95 percentage points compared to Q3 2025.

The non-oil sector continued to anchor the economy, growing by 3.99 per cent in real terms in Q4 2025, compared to 3.80 per cent in Q4 2024 and 3.91 per cent in Q3 2025. Growth was driven by crop production, telecommunications, real estate, trade, financial institutions, construction, road transport, and food, beverage and tobacco manufacturing.

In real terms, the non-oil sector contributed 97.13 per cent to GDP in Q4 2025 and 96.47 per cent for the full year, underscoring its dominant role in economic activity.

Global institutions have expressed cautious optimism about Nigeria’s growth trajectory following the latest GDP data. Updated forecasts suggest sustained expansion over the medium term.

These projections signal confidence in Nigeria’s medium-term prospects, even as structural and macroeconomic challenges remain.