Nigeria’s economy demonstrated stronger growth momentum in the first quarter of 2026, with several sectors posting significant year-on-year expansions. The overall real GDP growth reached 3.89%, an increase from the 3.13% recorded in the same period of 2025.

This improved economic activity was observed across various sectors including energy, telecommunications, entertainment, transport, and industrial production. The faster pace of economic expansion was driven by rebounds in refining activity, increased demand for digital connectivity, improved infrastructure, expanding insurance penetration, and a continued recovery in transport-related services.

The trade sector played a significant role, contributing 17.89% to Nigeria’s Gross Domestic Product (GDP) in Q1 2026. While this was slightly lower than the 18.21% contribution in Q1 2025, it was higher than the 16.84% posted in Q4 2025. The trade sector recorded a year-on-year real growth rate of 2.08% in Q1 2026.

However, quarter-on-quarter growth for the trade sector stood at a negative 14.85%, indicating a slowdown in trading activities compared to the final quarter of 2025. In nominal terms, the trade sector saw a year-on-year growth of 38.15%.

Among the fastest-growing sectors, Oil Refining led with a growth of 37.46%, followed by Quarrying and Other Minerals at 23.41%. Telecommunications & Information Services also showed strong performance with 12.24% growth.

The creative industry, including motion pictures and music production, recorded an 8.86% growth in Q1 2026, though this was slightly below the 9.63% growth posted in Q1 2025. The sector continues to benefit from the global popularity of Afrobeats, Nollywood productions, and streaming platforms.