GDP By Income and Expenditure Approach 2017 - Household Final Consumption Fell by -0.99% in 2017

Proshare

Monday, July 30, 2018 / 10:00 AM / NBS

Summary

In 2017, real GDP turned to positive growth in the second quarter and sustained its acceleration on a year-on-year basis. Annual real GDP growth rate in 2017  was recorded at 0.82%, signifying economic recovery when compared to –1.58% in 2016.

·Real Household Consumption and Government Consumption Expenditures generally declined in 2017 at –0.99% but improved compared to 2016 (-5.71%). Domestic demand was still weak.

·Net Exports grew significantly in real terms in 2017, which was mainly driven by the strong performance in the third quarter. However, this was slower than 2016 (22%).

·National Disposable Income declined by 1.52% in 2017, majorly due to the continuous decline in the largest component— Operating Surplus which recorded a negative annual growth rate, of –2.11%.

· Compensation of Employees performed strongly in 2017, of an 11.14% annual growth rate compared to –9.68% recorded in 2016. However, the expansion in this category was not enough to stem a negative

In summary, Nigeria’s economy exited the recession and slowly started its recovery in the second quarter of 2017, although improvements in domestic consumption and business environment are still necessary to further stimulate growth. Trade surplus in 2017 contributed significantly to overall economic growth and recovery.  

GDP By Expenditure

The Gross Domestic Product (GDP) can be derived as the value of all goods and services available for final uses and export. GDP at market prices includes net taxes on products; taxes are subtracted to obtain basic price GDP.

The expenditure approach measures the final uses of the produced output as the sum of Final consumption, Gross Capital Formation and Exports less Imports, which are considered in turn in this report. Consumption of fixed capital—a measure of depreciation of assets—comprises the difference between Gross Domestic Product (GDP) and Net Domestic Product (NDP) and is also considered in this report.

Basic price GDP grew in real terms by 0.82% year-on-year in 2017. This was a significant improvement compared to a decline of -1.58% decline in real GDP growth rate in 2016. 

 

Household Final Consumption Expenditure:

This consists of expenditure, including imputed expenditure, incurred by resident households on individual consumption goods and services. This is calculated as a residual.

General Government Final Consumption Expenditure:

This consists of expenditure, including imputed expenditure, incurred by government at all levels on both individual and collective consumption goods and services. Individual consumption items are those that are provided to individual households, such as education and health services. Collective consumption items relate to goods and services utilised by society as a whole, such as security and infrastructure.

Not for Profit Institutions Serving Households Final Consumption Expenditure

This consists of expenditure, including imputed expenditure, incurred by Not-for-Profit-Institutions-Serving-Households, which consist of organisations such as charities and non-government organisations.

Gross Fixed Capital Formation

This is measured as the total value of producer’s acquisitions, less disposals, of fixed assets during the accounting period, plus certain additions to the value of non-produced assets (such as improvements to natural assets) realised by the productive activity of institutional units.

Change in Inventories

is the consist of changes in; stocks of outputs that are still held by units that produced them prior to their being further processed , sold, delivered to other units or used in other ways, measure by the value of the entries into inventories less the value of withdrawals and the value of any recurrent losses of goods held in inventories.

Exports of Goods and Services

Consists of sales of goods and services to residents abroad, from residents within Nigeria

Imports of Goods and Services

Consists of sales of goods and services from residents abroad, to residents within Nigeria

Consumption of Fixed Capital

This represents the reduction in value of the fixed assets used in production during the period, that results from physical deterioration, normal obsolescence or normal accidental damage.


Household Final Consumption

Household final consumption in 2017 fell by -0.99% from 2016 in real terms, although it increased by 9.77% nominally. The decline in real household consumption was an improvement on the –5.71% recorded in 2016. Weak household consumption growth indicates weak recovery of the domestic economy, while the nominal growth reflects the increase in prices over the year of 2017. This component accounted for 58.93% of real GDP in 2017.

In the first two quarters of 2017, real household final consumption recorded both year-on-year and quarter-on-quarter growth. However, consumption declined sharply in the third quarter (-11.88%) in real terms on a year-on-year basis. The positive growth in consumption in the last quarter of 2017 was not enough to offset the decline in the third quarter.

 

Click Here to Download 2017 GDP By Expenditure Approach PDF Report


Latest 2018 NBS Reports

 

Q2 2018

1.       Average of 92,747MWh of Energy Generated Daily in Q1 2018

2.      Average Price of 1kg of Yam Tuber Increased MoM by 4.93% to N305.70 - NBS

3.      Average Intracity Transport Fare Increased MoM by 1.53% to N168.90 - NBS

4.      Average Prices of PMS, AGO, HHK and Cooking Gas – June 2018

5.      Headline Inflation Drops to 11.23% in June 2018; 0.37% Lower Than May 2018 Rate

6.      134,663 Crime Cases Were Reported in 2017 - NBS

7.      FAAC Disburses N701.02bn in May 2018 - NBS

8.     Average Prices of 1kg of Tomato Increased MoM by 6.10% to N307.14 in May 2018 - NBS

9.      Average Water Transport Fare Increased By 0.57% MoM in May 2018 - NBS

10.  Headline Inflation Drops to 11.61% in May 2018; 0.87% Lower Than April 2018 Rate

11.   Average Prices of PMS, AGO, HHK and Cooking Gas – May 2018

12.  Merchandise Trade in Both Directions Grew Significantly in Q1 2018

13.  7.98m Workers Are Registered Under The Pension Scheme as at Q1 2018 - NBS

14.  5.67bn Litres of PMS Imported in Q1 2018 - NBS

15.   FAAC Disburses N638.09bn in April 2018 - NBS

16.  2,482 Road Traffic Crashes Occurred in Q1 2018 - NBS

17.   Nigeria’s GDP Grew in Real Terms by 1.95% in Q1 2018

18.  N269.79bn Generated as VAT in Q1 2018 - NBS

19.  Average Price of 1kg of Tomato Increased by 8.38% MoM in April 2018 - NBS

20. Average Fare for Bus Journey Within City Increased by 3.88% MoM in April 2018 - NBS

21.  Headline Inflation Drops to 12.48% in April 2018; 0.86% Lower Than March 2018 Rate

22. Average Prices of PMS, AGO, HHK and Cooking Gas – April 2018

23. Total Value of Capital Imported in Q1 2018 Stood at $6,303.63m - NBS

24. Banking Sector Records 457.23m Volume of Transactions in Q1 2018 - NBS

25.  FAAC Disburses N647.39bn in March 2018 –NBS

26. 720,958 Passport Applications Received in 2017 - NBS

27.  309,713kg of Drug Seized in 2017 - NBS

28. Average Intercity Bus Fare Decreased by -5.63% MoM in March 2018

29. Average Price of Tomato Decreased by -0.58% YoY in March 2018

30. Headline Inflation Drops to 13.34% in March 2018; 0.99% Lower Than February 2018 Rate

31.  Average Prices of PMS, AGO, HHK and Cooking Gas – March 2018

32. Updated 2017 IGR Report – Osun State Grows IGR by 32.04% in FY 2017

 

Q1 2018

1.       FAAC Disburses N635.55bn in February 2018 - NBS

2.      Lagos State Has The Highest Domestic and Foreign Debts as at December 2017 - NBS

3.      States Generate N931.23bn as IGR in 2017 - NBS

4.      Average Air Fare Increased by 1.47% MoM in February 2018 - NBS

5.      Average Price of 1kg of Yam Tuber Increased by 7.10% YoY in February 2018 - NBS

6.      Headline Inflation Drops to 14.33% in February 2018; 0.8% Lower Than January 2018 Rate

7.      Average Prices of PMS, AGO, HHK and Cooking Gas – February 2018

8.     Lagos, Abuja, Port Harcourt, Owerri and Kano Airports Served Over 92% of Total Passengers in Q4 2017

9.      4,175 Ocean Going Vessels Recorded at Nigerian Ports in 2017

10.  Total Value of Capital Imported into Nigeria in Q4 2017 Estimated at $5,382.89m - NBS

11.   Nigeria’s GDP Grows in Real Terms by 1.92% in Q4 and 0.83% for Full Year 2017

12.  FAAC Disburses N655.18bn in January 2018 – NBS

13.  N254.10bn Generated as VAT in Q4 2017 – NBS

14.  Total Active Voice Subscription Increased by 3.69% in Q4 2017 – NBS

15.   18.36bn Litres of PMS Distributed State-wide in 2017 – NBS

16.  5.84m Students Enrolled in Junior Secondary Schools in 2016 - NBS

17.   2,489 Road Traffic Crashes Occurred in Q4 2017 - NBS

18.  Average Air Fare Increased by 7.34% YoY in January 2018 - NBS

19.  Headline Inflation Drops to 15.13% in January 2018; 0.24% Lower Than 15.37% December Rate

20. Average Prices of PMS, AGO, HHK and Cooking Gas – January 2018

21.  7.82m Workers Are Registered Under the Pension Scheme as at Q4 2017 - NBS

22. Daily Energy Generation Attained a Peak of 94,627MWh in Q4 2017 - NBS

23. Banking Sector Records 461.98m Volume of Transactions in Q4 2017 - NBS

24. 77.5m Persons Engaged in Some Sort of Economic Activities in Q3 2017 - NBS

25.  Average Fare Paid by Passengers for Water Transport Increased by 6.05% MoM to N631.55 in Dec 2017

26.   Average Price of 1kg of Yam Tuber Decreased by -3.67% YoY to N211.61 in December 2017 - NBS

27.  Headline Inflation Drops to 15.37% in December 2017; 0.53% Lower Than 15.90% November Rate

28.  Average Prices of PMS, AGO, HHK and Cooking Gas – December 2017

29.  Active Voice Subscribers Dropped by 8.73% in Q3 2017 – NBS

30.  Inequality in Nigeria Worsened Between 2004 and 2013 But Improved in 2016 – NBS

31.   FAAC Disburses N609.96bn in December 2017 – NBS

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