A Q3 2022 Gross Domestic Product (GDP) report released by the National Bureau of Statistics (NBS) revealed that two of the fastest growing industries in Nigeria’s economies were the transportation and financial sector. NBS reported that while transportation grew by 41.59 percent, the financial sector recorded 12.7 percent.
What’s more is that in general, although Nigeria’s economy grew by 2.25 percent (year-on-year) in Q3 2022, with a large contribution from non-oil sectors, the growth was lesser when compared to Q2 quarter (3.54%).
Transport and storage
The transportation and storage sector of the Nigerian economy (with 41.59 percent) was the fastest-growing sector in Nigeria, with road transport accounting for 83.6 percent of the total sector while water and air transport made up the rest 16.4 percent.
- Transportation & Storage (TS) data was reported at N985,936.007 in Sep 2022 as against a decrease from the previous number of N1,257,157.314 for June 2022.
Finance and insurance
The financial and insurance sector recorded a growth of 12.7 percent; however, this is slower than the 18.4 percent of the previous quarter and the 23.24% growth printed in Q1 2022.
- The rate of insurance penetration in Nigeria, the largest economy in Africa and with a GDP of 443 billion USD as of 2020, is one of the lowest and worst in Africa, with a 0.5 percent penetration rate as of March 2022.
- According to the Nigerian Stock Exchange (NSE) in its 2019 report, the insurance industry in Nigeria “ranks 62nd in the world with $1.64billion premium representing 0.2 percent of premiums collected globally.”