Nigeria Slides to Fourth Position on Africa's Top Countries by GDP

Nigeria's economy, once the largest on the continent, has fallen to fourth position after two sharp devaluations of its currency shrank its Gross Domestic Product (GDP) by more than half, causing the Naira to lose roughly 70% of its value against the dollar. This decline underscores the deep macroeconomic imbalances and FX challenges Nigeria faces despite its vast population and resource base. Meanwhile, Africa's most industrialized economy, South Africa, leads at $400.2 billion, with Egypt following closely at $383.1 billion.

Key Takeaways:

• Nigeria's GDP fell to fourth position on the list of top African countries, a decline attributed to the country's currency devaluations and inflationary pressures.
• The country's rebased GDP data is expected to capture emerging sectors such as marine economy, arts, culture, and tourism, ICT, e-commerce, and mining.
• South Africa took the lead with a GDP of $400.2 billion, followed closely by Egypt with $383.1 billion.
• Algeria came third with a GDP of $264.9 billion, driven by its blossoming hydrocarbon wealth and investment.
• Nigeria's economy faces significant challenges, with its Naira losing roughly 70% of its value against the dollar.

Statistics:

• Nigeria's GDP fell by more than half after two sharp currency devaluations.
• The country's GDP contraction caused the Naira to lose roughly 70% of its value against the dollar.
• South Africa's GDP is $400.2 billion, the highest on the continent.
• Egypt's GDP is $383.1 billion, the second-highest on the continent.
• Algeria's GDP is $264.9 billion, driven by its hydrocarbon wealth.

Sources:

• Afreximbank Research, @Afreximbankxed on X (formerly Twitter)
• International Monetary Fund (IMF)'s World Economic Outlook for 2025
• National Bureau of Statistics