Following the rebasing of the country’s Gross Domestic Product (GDP), calls for a more inclusive and sustainable economic growth model intensified this week.
Key stakeholders, including the Lagos Chamber of Commerce and Industry (LCCI), labour organisations, and other advocacy groups, have urged the federal government to prioritise exchange rate stability, good governance, and robust infrastructure development.
Nigeria’s rebased GDP outcomes revealed some upward revision in the size and growth of the economy. The National Bureau of Statistics (NBS) shifted the GDP base year from 2010 to 2019, which resulted in Nigeria’s nominal GDP rising to about N205 trillion for 2019 and reaching N372.82 trillion in 2024.
This rebasing indicated a 41.7 per cent increase over the previous 2019 GDP estimates based on the old base year. GDP growth was 3.13 per cent year-on-year in real terms in Q1 2025, up from 2.27 per cent in Q1 2024. Services and industry sectors largely drove the growth.
However, stakeholders have expressed concerns that the reported GDP growth did not fully reflect the economic realities faced by the population.
They noted that despite larger GDP figures, real incomes, poverty rates, and living standards have not seen commensurate improvements, largely due to high inflation, unemployment, and underemployment. Nearly half the population remains in poverty, limiting the positive impact of GDP growth on everyday Nigerians.
The president of Lagos Chamber of Commerce and Industry (LCCI), Gabriel Idahosa, said that for the government to ensure inclusive growth by moving away from statistical celebration to strategic economic transformation, “stabilising the naira must be a top priority, which requires restoring FX confidence, boosting non-oil exports, and supporting domestic production.
“Food security must be urgently addressed through input subsidies, storage systems, and improved logistics to combat inflation and hunger. The government must intensify efforts to empower MSMEs and the informal sector through access to finance, aggressive operationalisation of the 2025 Nigerian Tax Reform Act, and deployment of digital tools. We need targeted job creation programmes, especially in agriculture, construction, and technology, backed by aggressive skills development; and restore citizens’ confidence through transparency, social protection, and visible policy implementation,” he advised.
Idahosa noted that improving local refining capacity is expected to ease energy costs, reduce foreign exchange spending, and attract more investments into the oil and gas sector.
He urged the government to continuously monitor inflation and the foreign exchange market, and sustain efforts in fiscal and monetary policy interventions.
While labour groups and economic stakeholders applauded the recently released rebased GDP for the first quarter of 2025, they called on federal, state, and local governments to enhance good governance and ensure infrastructural development across the country.
For his part, the president of the Food, Beverage, and Tobacco Senior Staff Association (FOBTOB), Comrade Jimoh Oyibo, advised governments to address infrastructural decay nationwide.
“What is the noise about rebasing when it does not translate into putting food on the table of average Nigerians?
“While the rebasing may have improved statistical indicators such as the debt-to-GDP ratio, it does not address critical issues such as food inflation, widespread poverty, and infrastructure deficits.
“Do a tour of all the states, including Abuja, you will see for yourself the infrastructural decay and neglect by the government. You will also see hunger and hardship written on the faces of many people. Federal, state, or local councils should ensure Nigerians enjoy the benefits of all the statistical figures in real terms,” he said.
Oyibo further said: “Promises of fuel subsidy removal are completely a sham. A country that borrows to steal instead of improving the lives of its citizens is talking of rebasing. According to a recent report, refineries that underwent turnaround maintenance are being pencilled down to be privatised. More staple foods are now beyond the reach of the common man.
“What are the benefits of rebasing when devaluation of the national currency has rendered the Naira one of the weakest currencies in Africa. Businesses are suffocating, hence, giving rise to mass casualisation and outsourcing as many companies and, perhaps government agencies, are struggling to effect payment of the N70,000 National Minimum Wage.”
Noting that the youths are fleeing the country in search of greener pastures in other African countries, Europe, Asia and America, he chided Nigerian leaders for their cluelessness, saying “celebrating rebasing at a time like this is uncalled for.”
For Comrade Garba Ibrahim, president of the junior food union, the National Union of Food, Beverage and Tobacco Employees (NUFBTE), rebasing celebration is a form of distraction
“Nigerians are interested in good governance from federal, state and local governments, not mere quotations of figures that do not add value to the take-home pay of the average Nigerian worker,” he stated.
The chief executive officer of Cowry Assets Management, Johnson Chukwu, expressed hope in the new tax regime.
“We hope that with the introduction of the new tax law and improved implementation, government revenue will rise. Ultimately, the critical issue is whether the government has the resources to meet its debt obligations—both interest and principal—as they mature. If revenue does not improve, then even a larger GDP does not necessarily enhance the government’s ability to service its debt.
According to him, the primary aim of GDP rebasing is to include sectors that were previously unaccounted for in the computation.
It captures more accurately the economic activities and areas where economic agents are actively engaged.
“Take the agriculture sector, for instance, it accounted for about 23% of GDP in the first quarter of the year, yet its growth was just 0.07%. So, even though it’s a large part of the economy, it’s stagnating. That gives us insight into persistent inflation and food insecurity, since agriculture is critical to both.
“The manufacturing and industrial sectors, which are supposed to drive job creation and economic resilience, are shrinking. The service sector now dominates, accounting for about 57.5% of GDP. This has implications for employment, especially in a country with a large and growing population. Countries with smaller populations can sustain service-led growth, but a country like Nigeria needs a strong real sector to generate jobs and absorb its labour force.
He pointed out that foreign investors are primarily interested in understanding the structure of the economy, as it exists today, and where the real prospects for investment lie.
He said the GDP growth rate of 3.13 per cent is a decent figure and shows an improvement from past trends.
“We’ve observed in previous years that growth in the final quarter typically underperformed. This time, there’s a shift in that pattern. So investors will analyse these figures carefully to assess where real opportunities lie. It’s not just about the numbers—it’s about what those numbers reveal about the direction and potential of the economy,”Chukwu added.
The director/CEO of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, noted some positive developments following the recent rebasing of the GDP.
He said that “despite these improvements, concerns about the economy persist. We are currently facing challenges that have been building over the past decade, including structural issues related to infrastructure, macroeconomic instability, and security challenges. However, efforts are underway to reset the economy and address significant distortions.”
He explained that various policy implications arise from the current GDP figures.
“For instance, enhancing agriculture, a key employer of labour, is essential for making our economic growth more inclusive.
“We must also focus on improving the efficiency of production sectors and increasing productivity. Notably, agricultural growth in Q1 2025 was only 0.07 per cent, while manufacturing and trade saw modest growth rates of 1.69 per cent and 1.78 per cent, respectively.”
To foster a more inclusive economy, Yusuf said, “It is crucial to tackle the structural challenges that inhibit growth. This includes investing in logistics, particularly in road and rail infrastructure, and ensuring a more supportive fiscal environment for the real sector. Stabilising the macroeconomic landscape is vital to building confidence among businesses, encouraging them to invest in these critical areas.
“Supporting small and medium-sized enterprises (SMEs) is particularly important, as they play a significant role in job creation. Recent initiatives in tax relief and SME support funds are steps in the right direction, but scaling up these efforts is essential. Creating an environment where small businesses can thrive through improved power supply, logistics, and access to funding will lead to greater economic inclusion and employment opportunities.”
Yusuf noted that fostering a stable macroeconomic environment will enable more predictable exchange rates and moderate inflation, which are crucial for further growth.
He further called for promoting backwards integration and supporting local production.
The Nigeria First policy, which emphasises local patronage, exemplifies a commitment to strengthening our economy.”
“Ultimately, effective implementation of these policies is key to maximising the benefits of investment and ensuring that growth is truly inclusive,” Yusuf stated.
We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →
Join Our WhatsApp Channel
