Nigeria’s economy recorded a significant expansion in dollar terms, rising by 22 per cent to approximately $307 billion in 2025, supported by improved domestic production and a stronger naira, according to a new economic analysis.
The report, released by Quartus Economics, indicated that Nigeria’s dollar-denominated Gross Domestic Product increased from about $252 billion in 2024 to $307.5 billion in 2025, marking a return above the $300 billion threshold after previous economic setbacks.
It explained that the growth was driven by an 18.43 per cent increase in nominal GDP alongside a three per cent appreciation of the naira against the US dollar. The average exchange rate improved from N1,479/$ in 2024 to N1,436/$ in 2025, contributing additional momentum to the dollar value of the economy.
Brandspur Banking News Desk reports that the analysis highlighted Nigeria’s improved economic standing within Africa, noting that the country accounted for nearly 28 per cent of the continent’s total GDP growth in dollar terms during the period under review.
The report stated that Nigeria’s performance outpaced several major African economies, including South Africa, Egypt, Kenya, Morocco, and Angola, while also exceeding the average growth rate recorded across Sub-Saharan Africa.
It further revealed that Nigeria’s GDP per capita rose by 19.5 per cent to $1,295 in 2025 from $1,083 in 2024, reflecting stronger economic output relative to population growth, which expanded by about 2.1 per cent during the same period.
According to the findings, the improvement in income levels was supported by a combination of currency stability, expanding production activity, and a gradual slowdown in population growth compared to earlier years.
The report also noted that Nigeria’s share of Africa’s total GDP increased to 14.43 per cent in 2025, up from 13.05 per cent in 2024, reinforcing its position as one of the continent’s largest economies.
Despite the positive trajectory, the analysis cautioned that Nigeria’s economic indicators remain below historical peaks and several peer economies, stressing the need for sustained macroeconomic reforms, industrial expansion, and productivity-driven growth.
It concluded that continued stability in exchange rates, deeper structural reforms, and stronger performance in the real sector will be critical to sustaining Nigeria’s current growth momentum and improving long-term economic outcomes.
