The Banks, Insurance, and Financial Institutions sector contributed N1.77 trillion to Nigeria’s economy in the first quarter of 2025 (Q1 ’25), marking a 15% year-on-year increase from N1.545 trillion in Q1 2024, according to the National Bureau of Statistics (NBS) Nigeria GDP report.
Breakdown of Contributions:
- Banks and other financial institutions accounted for N1.613 trillion in Q1 ’25, growing 16.8% YoY from N1.391 trillion in Q1 ’24.
- Insurance companies contributed N164.58 billion in Q1 ’25, up 7.1% YoY from N153.71 billion in Q1 ’24.
Sector Composition & Growth:
- Financial Institutions made up 90.74% of the Finance and Insurance sector’s real output, while Insurance accounted for 9.26%.
- The sector grew 21.01% in nominal terms YoY, with Financial Institutions growing at 22.82% and Insurance at 5.74%.
- The sector’s nominal GDP contribution rose to 3.07% in Q1 2025, up from 3.00% in Q1 2024 and 2.70% in Q4 2024.
Real Terms Growth:
- Real growth for the sector was 15.03% YoY, significantly higher than the 1.46% recorded in Q1 2024.
- Quarter-on-quarter real growth stood at 17.50%.
- The Finance and Insurance sector’s share of real GDP increased to 3.60% in Q1 2025, up from 3.23% in Q1 2024 and 2.46% in Q4 2024.
