Nigeria’s unemployment rate rises to 5.3% in Q1 2024

In a report released by the National Bureau of Statistics on Tuesday, Nigeria’s unemployment rate has seen a slight increase, rising to 5.3% in the first quarter of 2024, up from 5.0% in the third quarter of 2023. The report highlights significant disparities, with females facing a higher unemployment rate of 6.2%, compared to 4.3% for males.

Urban unemployment remained unchanged at 6.0%, while rural areas recorded a lower rate of 4.3%. Among the youth population aged 15 to 24, unemployment decreased marginally to 8.4% from 8.6% in the previous quarter. However, concerningly, the percentage of youths not engaged in education, employment, or training rose to 14.4%, indicating a growing disengagement among this demographic.

The report also noted a decline in time-related underemployment, which fell to 10.6% from 12.3%. Self-employment remains prevalent, accounting for 84% of the workforce, though this figure has decreased from 86% in the same quarter last year. Rural areas exhibited a higher self-employment rate at 91.9%, compared to 78.2% in urban settings.

Additionally, Nigeria’s labor force participation rate decreased to 77.3%, down from 79.5% in Q3 2023. The participation rate was notably higher in rural areas at 82.5%, versus 74% in urban areas. Gender disparities persisted, with male participation at 77.5% and female participation slightly lower at 77.1%.

The employment-to-population ratio also experienced a decline, dropping to 73.2% from 75.6% in the previous quarter, particularly reflecting a contraction in job opportunities in urban areas, where the ratio fell to 69.5%.

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