Real Estate Sector Contributes N20tn To GDP
In the first three quarters of 2022, economic activity in the construction and real estate industries contributed N20 trillion to the Gross Domestic Product of the country.
Fidel Info reports that This is according to the National Bureau of Statistics’ report on GDP.
According to the research, real estate only contributed N7 trillion to the GDP while construction services generated N12.9 trillion.
Further research showed that construction increased in nominal terms (year-over-year) by 18.92% in the third quarter of 2022, contributing 9.5% to nominal GDP, up from the quarter’s 9.26% contribution a year earlier and 7.95% contribution the previous quarter.
However, the sector experienced a decline of 28.75% points compared to the rate of 47.67% seen in the same quarter of 2021.
The national statistics authority reports that the nominal growth rate for real estate services was 9.13%, which is 0.50 percentage points higher than the growth rate reported for the same quarter in 2021 and 3.68 percentage points lower than the Quarter before.
The sector’s growth rate was 16.38% quarter over quarter. In comparison to the 5.27 percent recorded in the third quarter of 2021 and higher than the 4.95 percent accounted for in the second quarter of 2022, the contribution to nominal GDP in Q3, 2022, was 4.96 percent.
By summing up gross outputs such a total of fees, the value of work completed, commissions due for services supplied, and other incomes, the NBS determines the sector’s contribution.
It also considers intermediate consumptions such as details of the cost structure including transportation fees, operational expenditure, minor repairs and maintenance etc.
Reacting, the Chairman, Real Estate Developer Association of Nigeria, Aliyu Wamakko, stated that the contributed amount had revealed what the private sector could achieve.
He said, “When you talk about real estate, it is driven by private investors. This means for any economy to strive, the private sector must be given a platform and a level playing ground for them to perform.”
“For example, creating jobs in real estate doesn’t require an incubation period, anytime you start building a house, at least 25 persons will get a job. So, if the government want to support the economy of the country, more opportunities should be given to the private sector.”
BREAKING: “Fuel Subsidy Is Gone” – Tinubu Declares After Inauguration
President Bola Tinubu has declared that fuel subsidy is now a thing of the past under his administration.
POLITICS NIGERIA reports that the president made the declaration during his inaugural speech at Eagle Square on Monday.
Furthermore, President Tinubu vowed to address concerns regarding multiple taxations, a move aimed at stimulating the economy and attracting investments.
Setting ambitious targets, the president articulated his administration’s goal of achieving a minimum Gross Domestic Profit growth rate of 6%.
Radiating unwavering confidence in the Nigerian people, Tinubu pledged to embrace the sacred mandate bestowed upon him, underscoring the nation’s exceptionalism and indomitable resolve to fulfil its destined path.
Despite enduring formidable challenges that would have tested the mettle of any nation, Tinubu extolled Nigeria’s resilience and urged the preservation and advancement of the progress made by preceding generations.
“We must never allow the sacrifices of our predecessors to be in vain,” affirmed Tinubu. “Instead, let us nurture their legacy and strive to forge a brighter and more prosperous reality for our beloved nation.”
Shettima reveals two decisions Tinubu will make when he becomes president
The vice president-elect, Kashim Shettima, has said removing petrol subsidy and removing multiple exchange rate systems are two challenges that will pose an initial challenge to the incoming administration.
Shettima stated this while speaking at the public lecture and Juma’at prayer on Friday held at the National Mosque in Abuja.
He warned that the take-off point of Bola Tinubu’s administration might be rough.
“Be rest assured that in the fullness of time, Nigeria will pay glowing tributes to us. The starting point might not be rosy, let me be very honest with you.
“Oil subsidy is an albatross on our neck, the multiple exchange rate system is a drain on the national economy.
“There are certain decisions the president-elect will take, but in the fullness of time, Nigerians will not only appreciate, but also celebrate us,” Shettima said
Naira faces downside risks, slumps to N760/$ at black market
Four days before the inauguration of a new administration, naira seems to have lost its long-standing N750/$ resistance as it dipped to N760/$ yesterday.
The market may have started pricing in uncertainty risk that comes with a change of national economic managers. Some dealers told The Guardian yesterday that there has been a surge in the demand for foreign exchange (FX) since the beginning of the week, though they could not justify the sudden spike.
But further market intelligence suggests a comeback of high-ticket transactions to the black market. Sources linked the surge to next week’s inaugurations across the country.
The Guardian, however, could not independently confirm that the large volume of transactions is coming from the political circle. Previously, past governors and lawmakers had allegedly fled the country with ill-gotten wealth immediately after the end of their tenures for fear of being arrested by anti-corruption agencies.
President Muhammadu Buhari will leave office on Monday alongside 44 ministers and retinue of aides who have held on to power in the past eight years.
Across the country, 18 governors will also hand over the batons of the political leadership of their states beginning next week as their successors take the oaths of office.
Members of the National Assembly and 36 parliaments will also be inaugurated days after the executives take over the reins of office. Some of the outgoing public officials (some of who are covered by the immunity clause), The Guardian was informed, are on the watch of the Economic and Financial Crimes Commission (EFCC).
A source privy to details of some of the investigations said the EFCC is reviewing dossiers of petitions, some of which may be politically motivated, and that some governors may have been under close watch.
“Whether there are petitions is not a question but how many of them are viable? If you understand the number of public officials that are leaving office soon, you will be surprised that there is so much jittery in the political space,” the source said.
Dating back to the pre-election era, the pages of newspapers are rife with accusations and counter-accusations of fraud and misappropriation of public resources. Different officials have also been involved in phony projects to have been conduits of siphoning state resources.
This is not the first time naira would lose its hold ahead of the inauguration. The 2015 foreign exchange rate crisis pre-dated the general elections but spiked weeks before the inauguration of the Buhari administration, raising concern about the correlation between dollar scarcity and the winding down of subsisting administration.
On Monday morning, naira traded around N735/$ but started loosening its hold at the close of the day. As of press time, it had lost close to four per cent week-to-date (WTD). Except for the growing demand ease, the local currency faces more downside risk
Politics3 weeks ago
BREAKING: APC Announces Zoning For 10th NASS Leadership
Entertainment2 weeks ago
BREAKING: Yoruba Nollywood actor, Murphy Afolabi, is dead
Crime1 week ago
EFCC chairman, Bawa begged me for $2million – Gov Matawalle
Governance2 weeks ago
Breaking: Central Bank Gets New Governor
Politics4 weeks ago
Yes daddy: Why begging Bishop Oyedepo is better – Peter Obi replies critics
General4 weeks ago
End of the Road As State Dissolves Cabinet, Sacks SSAs, SAs
Governance2 weeks ago
Buhari Makes Fresh Appointment 12 Days To Handover
General4 weeks ago
CBN gives fresh update on new, old Naira notes