By SALIF ATOJOKO

The Independent Media and Policy Initiative (IMPI) has defended the two reports by the National Bureau of Statistics (NBS) on Nigeria?s latest Gross Domestic Product (GDP) figure and the unemployment rate, stating that they were justified.

Dr Omoniyi Akinsiju, Chairman of IMPI, in a statement on Wednesday, said critics have no basis to discredit the reports.

?The NBS reported a drop in the nation?s unemployment rate from 5.3 per cent in the first quarter of 2024 to 4.3 per cent in the second quarter of 2024.

?This translates to only about four people out of every 100 Nigerians being currently unemployed, indicating a positive reduction in the nation?s unemployment data.

?Nigeria?s GDP also increased to 3.46 per cent (year-on-year) in real terms in the third quarter of 2024, higher than the 2.54 per cent recorded in the third quarter of 2023 and the 3.19 per cent growth in the second quarter of 2024.?

IMPI criticised doubters, saying the figures were too good to be true.

The group argued that most critics lack an understanding of the methodology that foregrounds the Nigeria Labour Force Survey (NLFS), adopted and deployed by the NBS since the first quarter of 2023.

The policy group emphasised that the high rate of self-employed people captured in the report had a positive effect on the overall picture of employed Nigerians.

?In developing countries like Nigeria, many workers outside urban areas work in agriculture, retail finance, and transportation/logistics, which have formal affiliations with the Ministry of Labour and Employment.?

IMPI noted that the labour data aligned with Nigeria?s GDP performance data for the third quarter of 2024. The economy expanded by 3.46 per cent, driven mostly by the service sector.

The group explained that the GDP performance outperformed projections by the International Monetary Fund (IMF), the World Bank, and other research institutions, contrary to market expectations.

IMPI provided insights into the role of the service sector in Nigeria?s GDP figure in the third quarter of 2024.

The group said the nation?s service sector had emerged as the lead sector of the economy, contributing 53.58 per cent to the national economy.

?On average, the sector has contributed 50 per cent to Nigeria?s GDP over the last four years.?

The policy think tank identified ICT as the main driver of the country?s GDP growth and urged the federal government to take more deliberate steps to grow the service sector of the economy.

IMPI cited the potential of ICT to solidify its role as Nigeria?s economic growth engine, propelling the country toward a more digital and connected future.

The group concluded that the importance of ICT in GDP growth was further evidenced by the N2.55 trillion paid in taxes in the first half of this year by foreign digital companies operating in the country. (NAN)

Update news