Nigeria recorded a 3.98 percent GDP growth in the third quarter of 2025, according to the National Bureau of Statistics (NBS). The growth was driven primarily by the non-oil sector, including agriculture and services, pushing the country’s nominal GDP to N113.59 trillion and real GDP to N57.03 trillion.

The agriculture sector expanded by 3.79 percent, up from 2.55 percent in Q3 2024, while the services sector remained the dominant contributor, accounting for 53.02 percent of total output. Key performers included ICT, financial services, real estate, and trade.

Despite these positive macroeconomic indicators, economists note that ordinary Nigerians are not feeling the benefits, with high living costs persisting across the country.

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Macroeconomic Gains vs. Microeconomic Reality

Prof. Segun Ajibola, former president of the Council of the Chartered Institute of Bankers (CIBN), described the GDP growth as “encouraging,” particularly due to stronger agricultural output. He noted that harvest seasons typically boost performance and that food prices have eased in some areas.

However, Ajibola emphasized that high transportation, energy, and storage costs, combined with persistent security challenges, continue to keep the overall cost of living elevated. He stressed that weak transmission mechanisms between macroeconomic growth and household welfare remain a major barrier.

“It will take coordinated monetary, fiscal, and political efforts to ensure that growth benefits actually reach ordinary Nigerians,” he said.

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Government Policies Showing Limited Impact

Gbolade Idakolo, CEO of SD & D Capital Management, noted that targeted government interventions, such as the Lagos–Kebbi collaboration for Lake Rice production, lifting of certain food import bans, and expanded support for farmers, have reduced some staple food prices.

Yet, he stressed that the realities for many Nigerians remain harsh, pointing out that the current minimum wage of N70,000 is insufficient to meet household needs. “Most Nigerians still struggle to afford basic food items despite improved agricultural output,” he said.

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Caution on Interpreting GDP Figures

Mazi Okechukwu Unegbu, a financial analyst, urged Nigerians to view the GDP growth data cautiously. “Statistics often lag real economic conditions,” he said. While growth is evident on paper, the impact has yet to be felt in the marketplace, particularly by households facing daily financial pressures.

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Economic Gains Not Yet Inclusive

Prof. Godwin Oyedokun, a university don, described the 3.98 percent GDP growth as a “mixed picture.” While acknowledging expanding agricultural output and resilience among farmers, he noted that the benefits have not translated into lower living costs or improved household welfare.

He highlighted that food inflation remains high, exacerbated by insecurity, logistics bottlenecks, rising energy costs, and poor transport infrastructure. Wages are not keeping pace with inflation, and smallholder farmers—the backbone of the agricultural sector—still face limited credit, poor mechanization, and weak market access.

“Until inflation is contained and incomes rise, GDP growth will remain encouraging on paper but distant from the daily realities of Nigerians,” Oyedokun said. He recommended targeted interventions, including improved rural security, reduced logistics costs, enhanced storage and processing facilities, and policies supporting both large and small-scale producers.

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The consensus among economists is clear: while Nigeria’s GDP growth signals macro-level progress, meaningful improvements in living standards, purchasing power, and household welfare will require structural reforms, inclusive policies, and sustained economic interventions.