The National Bureau of Statistics (NBS) revealed today, February 19th, that Nigeria’s unemployment rate surged to 5% in the third quarter of 2023, according to its latest report titled “Nigeria Labour Force Statistics Report Q3 2023.”
This marks a notable increase of 0.8% from the previous quarter, as highlighted by the NBS. Particularly striking was the unemployment rate among individuals with post-secondary education, which reached 7.8% during Q3 2023.
Youth unemployment, defined as those aged between 15 and 24, saw a significant uptick, reaching 8.6% during the same period, indicating a 1.4% increase compared to the preceding quarter.
Urban areas experienced a slight rise in unemployment, reaching 6.0% in Q3 2023, up by 0.1% from Q2 2023.
Time-related underemployment also saw a marginal increase, climbing to 12.3% during Q3 2023, representing a 0.5% uptick from the previous quarter and a 1.4% increase compared to Q4 2022.
The report further highlighted that 4.1% of the working-age population engaged in subsistence agriculture during the period under review.
Informal employment remained prevalent, with the informal employment rate at 92.3% in Q3 2023, a slight decrease from 92.7% in Q2 2023.
The percentage of youth Not in Employment, Education, or Training (NEET Rate) stood at 13.7% during Q3 2023.
Moreover, the labour force participation rate among the working-age population experienced a decline, dropping to 79.5% in Q3 2023 compared to 80.4% in Q2 2023.
The employment-to-population ratio also saw a decrease, reaching 75.6% in Q3 2023, reflecting a 1.5% decrease compared to the previous quarter.
Combining unemployment and time-related underemployment, the combined rate (LU2) rose to 17.3% in Q3 2023 from 15.5% in Q2 2023.
The report also highlighted that a significant portion of workers, about 87.3%, were self-employed during Q3 2023, while the proportion of workers in wage employment stood at 12.7%.
