Nigeria’s unemployment rate increased to 5.3% in the first quarter of 2024, marking a 0.3 percentage point rise from 5.0% in the third quarter of 2023, according to the National Bureau of Statistics (NBS). The report highlights that male unemployment stands at 4.3%, while female unemployment is higher at 6.2%. Urban areas show a 6.0% unemployment rate, contrasting with 4.3% in rural regions. Youth unemployment saw a slight decrease, dropping to 8.4% from 8.6% in Q3 2023. Educational attainment significantly impacts these rates, with individuals holding postgraduate degrees experiencing an unemployment rate of 2.0%, while those with post-secondary education face a 9.0% rate. Secondary education holders have a rate of 6.9%, and primary education holders stand at 4.0%.
In Q1 2024, Nigeria’s labor force participation rate was recorded at 77.3%. Rural areas demonstrated a higher participation rate of 82.5%, compared to 74.0% in urban centers. By gender, male participation was at 77.5%, slightly surpassing female participation at 77.1%. The employment-to-population ratio showed that 73.2% of the working-age population was employed, a decline from 75.6% in Q3 2023. Males had a ratio of 74.2%, while females had 72.3%. Regionally, urban employment was at 69.5%, whereas rural areas reported a higher rate of 78.9%, both figures lower than those recorded in Q3 2023.
The self-employment rate decreased from 86% in Q1 2023 to 84% in Q1 2024. Conversely, the percentage of employed individuals working as employees rose from 12.7% in Q3 2023 to 16.0% in Q1 2024. The self-employment rate for females was 87.9%, while for males it was 79.9%. Rural self-employment rates reached 91.9%, significantly higher than the 78.2% in urban areas. Underemployment decreased to 10.9% in Q1 2024, down by 1.4 percentage points from 12.3% in Q3 2023. The NBS defines underemployment as those working less than 40 hours per week and willing to work more. Among men, the underemployment rate was 8.5%, while for women it stood at 12.5%. Urban areas recorded an underemployment rate of 9.7%, compared to 11.8% in rural areas. Notably, the report indicates an increase in discouraged job seekers, rising from 3.1% in Q3 2023 to 3.6% in Q1 2024, with rates of 3.4% for males and 3.8% for females.
