Nigeria’s insurance industry emerged as the fastest-growing segment of the financial services sector in the fourth quarter of 2025, recording a real growth rate of 21.37 per cent, according to the National Bureau of Statistics.
The figure marks a sharp rise from the 6.60 per cent growth posted in the corresponding quarter of 2024. On a full-year basis, the insurance industry recorded a real growth rate of 16.04 per cent in 2025, compared to 3.42 per cent in 2024.
Data from the NBS also showed that Nigeria’s aggregate Real Gross Domestic Product grew by 4.07 per cent year-on-year in Q4 2025, higher than the 3.76 per cent recorded in the same period of 2024.
In nominal terms, the insurance sub-sector expanded by 30.83 per cent during the quarter under review.
Despite the impressive performance, insurance accounted for 9.57 per cent of the total Finance and Insurance sector in real terms, indicating substantial room for deeper market penetration.
The banking sub-sector, which represents 90.43 per cent of the Finance and Insurance sector, recorded a real growth of 7.08 per cent in Q4 2025. Although slower than insurance, banking maintained strong annual momentum, closing 2025 with a real growth rate of 14.36 per cent. In nominal terms, financial institutions grew by 26.15 per cent in the quarter.
Overall, the Finance and Insurance sector grew by 8.30 per cent in real terms in Q4 2025, contributing 2.56 per cent to the nation’s aggregate real GDP.
Beyond financial services, the transportation and storage sector recorded a significant 21.25 per cent real growth, driven by a 23.86 per cent increase in road transport and a 15.17 per cent rebound in air transport.
The information and communication sector grew by 7.55 per cent in real terms, with telecommunications expanding by 8.39 per cent and contributing 9.64 per cent to total real GDP.
The oil and gas sector also sustained its recovery, as average daily crude production rose to 1.58 million barrels per day in Q4 2025, resulting in a real growth rate of 6.79 per cent.
Manufacturing recorded modest growth of 1.13 per cent, while construction expanded by 5.08 per cent during the period.
