Overview of Nigeria’s Real GDP
In 2021, Nigeria's real GDP reached $485.3 billion, up 2.7% yearly. Nigeria's real GDP grew at a CAGR of 2.6% between 2010 and 2021. The spike in oil and gas prices following Russia’s invasion of Ukraine at the end of February 2022 has both advantages and disadvantages for the Nigerian economy. On the positive side, with the rise in the prices, the government’s revenue has increased as Nigeria is a significant producer and exporter of crude oil and gas. However, since the country does not have a refining facility, it imports refined products. With the rise in the prices, the import bill for refined products has also increased for the government.
Outlook on Global Economy
Real GDP refers to base year prices, which include inflation. Changes in real GDP indicate the increase or decrease in the volume of economic activity and measure economic growth.
The US, China, Japan, Germany, and India are the leading economies around the world in terms of real GDP. The real GDP of the US was the highest, with a value of $18.6 trillion in 2021, followed by China. During the same period, Japan’s real GDP reached $6 trillion, ranked third in the world. Germany and India, with real GDPs of $3.8 trillion and $2.9 trillion, are the other two largest economies.
Factors Affecting the Global Economy
A rise in COVID-19 cases:
More cases have been reported globally due to Omicron, a new COVID-19 variant, which has disrupted supply chain management. However, the worldwide vaccination campaign has decreased COVID-19 fatalities.
Russia-Ukraine war:
Global economic expansion will be hampered by a protracted conflict between Russia and Ukraine. Due to the war, trade and investment have suffered because Russia has been subjected to economic sanctions, and several major corporations have ceased operations there.
Rising Inflation and Interest Rates:
The inflation rate in developing and advanced economies have been rising, causing central banks to tighten monetary policy and raise interest rates to control price rises. However, a sustained rise in interest rates could push some economies into financial distress.
Don’t wait - discover a universe of connected data & insights with your next search. Browse over 28M data points across 22 industries.
Access more premium companies when you subscribe to Explorer