The telecommunications industry has persistently shown its crucial importance to the economy, accounting for a significant 9.1 percent of the nation’s gross domestic product (GDP) in the third quarter (Q3).
This represents a slight increase from 8.95 percent during the same timeframe in 2024. As per the latest statistics released by the National Bureau of Statistics (NBS), this sector, which is a leading component of the information and communication technology (ICT) domain, was instrumental in the overall GDP growth of 3.98 percent recorded in that quarter.
The telecom sector, driven by a rising demand for mobile data and broadband, has reinforced its position as one of the largest non-oil economic contributors in the country. The telecommunications portion alone constituted approximately N4.4 trillion of the real GDP in Q3 2025, making up around 84.5 percent of the total ICT sector’s contribution, which was N5.2 trillion.
The industry achieved a strong year-on-year real growth rate of 5.78 percent in Q3 2025, maintaining its pattern of positive performance despite both global and local economic challenges.
The NBS specifically identified the telecommunications sector as one of the fundamental pillars bolstering the growth of the non-oil segment, which contributed 96.56 percent to the total GDP in that quarter.
This growth has been linked to an increase in mobile subscriptions, which have continued to rise, now approaching 180 million, driving greater demand for both voice and data services.
Ongoing investment in fiber optic networks, along with the deployment of 5G technology by major providers, is improving broadband access, which is vital for the digital economy. The dependable connectivity offered by telecommunications has supported the rapid advancement of related sectors such as fintech, e-commerce, and digital content production.
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Although the year-on-year growth rate of 5.78 percent showed a slight slowdown when compared to the preceding quarter (Q2 2025), it highlighted the sector’s durability.
Other sectors contributing to the GDP included agriculture, which made up just over 31 percent of real GDP. Crop production led this segment, contributing 23.06 percent, with its growth rate increasing to 3.79 percent from the previous 2.55 percent.
Livestock contributed an additional 6.18 percent, demonstrating the sector’s pivotal role in maintaining national output and ensuring food security. The services sector remained predominant, accounting for 53.02 percent of GDP. Trade activities contributed 16.42 percent, reflecting ongoing household consumption and retail activity across the nation. The real estate sector also showed resilience, representing 13.36 percent of output.
While still important for government revenue, the oil sector accounted for only 3.8 percent of GDP. Crude petroleum and natural gas production increased to an average of 1.64 million barrels per day, up from 1.47 million barrels the previous year, yet the sector’s real growth of 5.84 percent indicated a decline from earlier periods, showcasing its diminishing role in overall economic output.
Other contributors included the industrial sector, where food, beverage, and tobacco manufacturing added 3.44 percent, and construction contributed 3.03 percent amid ongoing infrastructure initiatives and private development.
