July 22, 2025
Nigeria’s real estate sector has officially overtaken the oil and gas industry to become the third largest contributor to the nation’s Gross Domestic Product (GDP), according to early data from the ongoing GDP and Consumer Price Index (CPI) rebasing exercise.
The data, compiled by the National Bureau of Statistics (NBS), indicates a notable shift in the country’s economic priorities, with real estate now accounting for a larger share of national output than the traditionally dominant oil and gas sector. Analysts attribute this change to increased urban development, rising population demands for housing, and renewed investor confidence in the construction and property markets.
While oil and gas continue to play a vital role in Nigeria’s export earnings and federal revenue, the sector has faced setbacks due to global energy transitions, local production challenges, and regulatory uncertainties. Meanwhile, the real estate industry has steadily expanded with growing public-private partnerships, housing initiatives, and infrastructure projects across major cities.
Economists say the development signals a maturing economy with diversifying growth pillars. The Minister of Finance and Economic Planning, Wale Edun, lauded the progress, noting that “this is evidence of our administration’s efforts to strengthen non-oil sectors and create sustainable opportunities for growth.”
The rebasing of the GDP and CPI is part of a broader statistical update aimed at reflecting current economic realities and improving policy formulation. Final results of the exercise are expected later this year.
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