The real estate services sector contracted by 17.18 per cent in the second quarter of the year, statistics available from the National Bureau of Statistics have shown.
The NBS disclosed this in its second quarter report on the country’s Gross Domestic Product report.
Part of the report said, “In nominal terms, real estate services in the second quarter of 2020 declined by 17.18 per cent per cent, or 19.27 per cent points lower than the growth rate reported for the same period in 2019 and lower by 18.31 per cent points compared to the preceding quarter.”
Quarter-on-quarter, the sector growth rate was lower by 1.24 per cent.
The contribution to nominal GDP in Q2 2020 stood at 5.23 per cent as against 6.35 per cent recorded in Q2 2019 but same as the value in Q1 2020.
Real GDP growth recorded in the sector in the second quarter of 2020 fell by 21.99 per cent, lower than the growth recorded in Q2 2019 by 18.15 per cent points, and 17.24 per cent points relative to Q1 2020.
Quarter-on-quarter, the sector declined by 2.71 per cent in the second quarter of 2020.
It contributed 5.30 per cent to real GDP in Q2 2020, lower than the 6.43 per cent it recorded in the corresponding quarter of 2019.
In the NBS report, Nigeria’s GDP decreased by 6.10 per cent (year-on-year) in real terms in the second quarter of 2020, ending the third year trend of low but positive real growth rates recorded since the 2016/17 recession.
The decline was largely attributable to significantly lower levels of both domestic and international economic activity during the quarter, which resulted from nationwide shutdown aimed at containing the COVID-19 pandemic.
The domestic efforts ranged from initial restrictions of human and vehicular movement implemented in only a few states to a nationwide curfew, bans on domestic and international travel, closure of schools and markets among others, affecting both local and international trades.