The contribution of banks, insurance firms, and other financial institutions to Nigeria’s economy fell by 15 percent in the third quarter of 2025, dropping to ₦1.512 trillion from ₦1.778 trillion recorded in the first quarter of the year. This marks the second consecutive quarterly decline in the sector’s input to the country’s Gross Domestic Product (GDP).

An analysis of the Q3 2025 GDP report released by the National Bureau of Statistics (NBS) shows that the sector had already experienced a 7.1 percent quarter-on-quarter decline in Q2 2025, falling from ₦1.778 trillion to ₦1.651 trillion. The downward trend continued in Q3 2025, where it further slipped by 8.4 percent to ₦1.512 trillion.

Despite these quarterly declines, the sector still recorded strong performance over the longer term. In the first nine months of 2025, financial and insurance services contributed ₦4.94 trillion to the economy, representing a 16.8 percent year-on-year increase compared to the ₦4.23 trillion generated in the same period of 2024.

The sector’s share of total GDP also strengthened, rising to 3.0 percent in the first nine months of 2025, up from 2.7 percent in the corresponding period of the previous year.

Further breakdown of the data reveals a steady year-on-year growth across all three quarters of 2025. The sector expanded by 15 percent in Q1 2025, increasing from ₦1.546 trillion in Q1 2024 to ₦1.778 trillion. In Q2 2025, it recorded 16.1 percent growth year-on-year, reaching ₦1.651 trillion from ₦1.421 trillion in Q2 2024. The trend continued in Q3 2025, where the sector rose by 19.6 percent year-on-year to ₦1.512 trillion, compared to ₦1.264 trillion in Q3 2024.