By The Ameh News
Nigeria’s economic structure is increasingly tilting toward a services-driven model, with the sector now accounting for about 50 per cent of the country’s Gross Domestic Product (GDP), according to the National Bureau of Statistics (NBS).
Within that expanding services ecosystem, telecommunications has emerged as one of the strongest pillars, contributing 8.3 per cent to GDP in 2025 — up from 8.1 per cent in 2024 — and generating ₦18.5 trillion for the year.
The data signals a steady transition from traditional oil dependence toward a more diversified economic framework powered by digital connectivity, trade, finance, and professional services.
Telecoms: A Strategic Growth Engine
According to NBS figures, the telecom sector posted its strongest quarterly performance in the second quarter (Q2) of 2025, contributing ₦4.7 trillion to the economy.
Industry analysts attribute the growth to rising broadband penetration, expanding 4G and 5G infrastructure, fintech integration, enterprise connectivity demand, and increased reliance on digital platforms for commerce and governance.
Telecommunications now plays a foundational role in banking operations, e-commerce transactions, digital payments, remote work systems, education technology, and public sector digitization — effectively serving as the backbone of Nigeria’s modern economy.
Experts React
Reacting to the development, economist Celestine Ukpong described the figures as “a structural shift rather than a temporary trend.”
“What we are witnessing is the consolidation of a services-led growth model. When services account for half of GDP and telecoms alone deliver 8.3 per cent, it shows digital infrastructure is no longer a support sector — it is now a primary growth driver,” Ukpong said.
He added that sustained investment in broadband expansion, regulatory stability, and digital innovation would determine whether the sector can push its GDP contribution into double digits in the coming years.
Also speaking, Peter Adebayo, FCA, said the data underscores the increasing importance of intangible and knowledge-based assets in Nigeria’s economic valuation.
“Telecoms growth reflects deeper financial inclusion, improved transaction transparency, and enhanced productivity across sectors. For investors and policymakers, this confirms that services — especially telecoms and finance — will continue to command strategic policy attention,” Adebayo noted.
He further emphasized that as digital infrastructure expands, tax revenues, employment generation, and SME productivity are likely to improve significantly.
Economic Diversification in Motion
The latest GDP structure highlights Nigeria’s ongoing economic diversification drive. While oil remains important, the expanding dominance of services signals resilience in non-oil sectors.
With telecoms generating ₦18.5 trillion in 2025 alone, the sector has solidified its position as a cornerstone of national productivity and competitiveness.
Analysts project that continued 5G rollout, rural broadband expansion, and deeper integration of digital financial services could further elevate telecoms’ share of GDP in the near term.
As Nigeria accelerates its digital economy agenda, the data paints a clear picture: services are now anchoring growth, and telecommunications sits firmly at the center of that transformation.
Nigeria’s services sector now accounts for 50% of GDP, with telecoms contributing 8.3% and generating ₦18.5 trillion in 2025, according to NBS, as experts highlight a structural economic shift.
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