Nigeria Telecom GDP Growth Hits 12.24% in Q1 as Sector’s Output Share Rises to 9.19%
Updated
Updated · Businessday · May 28
Nigeria Telecom GDP Growth Hits 12.24% in Q1 as Sector’s Output Share Rises to 9.19%
1 articles · Updated · Businessday · May 28
12.24% real growth in Q1 2026 marked Nigeria telecoms’ strongest expansion in recent years, up from 7.82% a year earlier and 4.04% in Q1 2024, NBS data showed.
Rising data use, fintech integration, digital services, enterprise connectivity and early demand for AI-enabled infrastructure drove the acceleration beyond a post-pandemic recovery phase.
9.19% of GDP came from telecommunications and information services in Q1, up from 7.20% a year earlier, underscoring the sector’s growing weight in the economy.
Operators kept expanding fibre, 4G, enterprise links and early 5G even as they faced higher diesel and equipment costs, forex pressure, spectrum fees, multiple taxes and fibre vandalism.
The outperformance stands out as other sectors wrestle with inflation, currency instability and weak consumer spending, reinforcing telecoms as a key pillar in Nigeria’s post-oil economy.
As Nigeria's telecom sector booms, why are customers facing worsening network quality and rising security risks?
Can Nigeria's booming digital economy be secured from sophisticated AI-driven fraud before it is too late?
Nigeria’s Telecom Sector Drives 9.19% of Q1 2026 GDP Amid Record Growth and Strategic Investments
Overview
In the first quarter of 2026, Nigeria's economy showed strong growth, with GDP rising by 3.89% as key sectors became more active. The country continued to move away from its traditional reliance on oil, as the oil sector's share in GDP dropped to 3.92%. Instead, non-oil sectors, especially telecommunications, played a bigger role in driving prosperity. The telecommunications industry stood out with unprecedented growth, fueled by more subscribers and increased investment. This shift highlights how Nigeria's economic landscape is changing, with new sectors leading the way for future development and resilience.