The Information and Communications Technology (ICT) sector contributed 19.78% to Nigeria’s real Gross Domestic Product (GDP) in the second quarter of 2024, according to the latest data released by the National Bureau of Statistics (NBS). This marks a slight increase from the 19.54% contribution recorded during the same period last year.

On a quarter-on-quarter basis, the ICT sector also saw an uptick in its contribution, rising from 17.89% in Q1 2024. The sector encompasses four key activities: Telecommunications and Information Services, Publishing, Motion Picture, Sound Recording and Music Production, and Broadcasting.

The ICT sector’s growth rate for Q2 2024 was 4.44% year-on-year, largely driven by the telecommunications sub-sector, which contributed 16.36% to the GDP in real terms. This makes telecoms the third-largest contributor to Nigeria’s real GDP for the quarter, trailing only crop production (20.35%) and trade (16.39%).

The telecommunications industry, dominated by major mobile network operators such as MTN, Globacom, Airtel, 9mobile, and Internet Service Providers (ISPs), continues to play a crucial role in driving activities across various sectors of the economy. Broadcasting, the next largest sub-sector within ICT, contributed 2.54% to the GDP.

In terms of Nominal GDP, the ICT sector contributed 14.19% in Q2 2024. This is slightly lower than the 14.83% recorded in the same quarter of 2023 but higher than the 13.12% contribution in the preceding quarter.

The sector’s nominal growth was 11.86% year-on-year, reflecting a significant decrease of 29.81 percentage points from the 41.67% growth recorded in Q2 2023 and a slight decline of 2.08 percentage points from the previous quarter.

Source: RegTech