Unemployment rate in Nigeria declines to 4.3% in Q2 2024

• The National Bureau of Statistics says Nigeria’s unemployment rate reduced to 4.3 per cent in Q2 2024
• The NBS disclosed that the employment rate increased to 76.1 per cent in the quarter
• The self-employment rate also increased to 85.6 per cent

The unemployment rate in Nigeria declined to 4.3 per cent in the second quarter (Q2) of 2024 from the 5.3 per cent recorded in the first quarter of the year.

This is according to a report released by the National Bureau of Statistics (NBS) on Monday, November 25, which defined the unemployment rate as the share of the labour force (the combination of unemployed and employed people) who are not employed but actively searching and are available for work.

The report also noted that the unemployment rate among males was 3.4 per cent and 5.1 per cent among females. The unemployment rate was 5.2 per cent in urban areas and 2.8 per cent in rural areas.

It said, “The unemployment rate for Q2 2024 was 4.3 per cent, showing an increase of 0.1 percentage point compared to the same period last year.

“The unemployment rate among males was 3.4 per cent and 5.1 per cent among females.

“By place of residence, the unemployment rate was 5.2 per cent in urban areas and 2.8 per cent in rural areas. Youth unemployment rate was 6.5 per cent in Q2 2024, showing a decrease from 8.4 per cent in Q1 2024.”

Employment rate grew by 76.1%

The NBS report revealed that the Labour Force Participation Rate rose to 79.5 per cent from the 77.3 per cent recorded in Q1 2024.

It also highlighted that the employment-to-population ratio, which measures the number of employed workers against the total working-age population, increased to 76.1 per cent in Q2 2024.

The report stated, “In Q2 2024, 76.1 per cent of Nigeria’s working-age population was employed, up from 73.1 per cent in Q1 2024.

“Disaggregating by sex, the employment-to-population ratio was 77.2 per cent for males and 75 per cent for females in Q2 2024.

“Additionally, the employment-to-population ratio in urban areas was 73.2 per cent and 80.8 per cent in rural areas in Q2 2024.

“This is an increase in the ratio compared to the 69.5 per cent and 78.9 per cent in Q1 2023, respectively.”

The rate of self-employment improved in Q2 2024

The report also revealed an improvement in self-employment, which accounted for 85.6 per cent of total employment, an increase from 84 per cent in the preceding quarter.

It stated, “The proportion of persons in self-employment in Q2 2024 was 85.6 per cent.

“Survey findings reveal a decrease in the share of employed persons primarily engaged as employees between Q2 2024 (14.4 per cent) and Q1 2023 (16.0 per cent).

“The self-employment rate among females was 88.3 per cent while males was 82.2 per cent.

“Disaggregation by place of residence, the rate of self-employed persons in rural areas was 94.3 per cent and 79.7 per cent in urban areas.”

10 benefits of working from home in Nigeria

Meanwhile, TheRadar earlier highlighted 10 benefits of working from home in Nigeria, given the high cost of transportation due to constant fuel scarcity or hikes in fuel prices. 

In recent years, working from home has become increasingly popular, especially after the global pandemic of 2020. While it might not work for every profession, many Nigerians are now enjoying the perks of remote work.