The National Bureau of Statistics (NBS) reported a slight increase in Nigeria’s unemployment rate to 4.2 per cent in the second quarter of 2023, compared to 4.1 per cent in the previous quarter. The data was released in the Q2 2023 Nigerian Labour Force Survey (NLFS), revealing a more detailed breakdown of unemployment trends in the country.
According to the report, individuals with post-secondary education experienced an 8 per cent unemployment rate in Q2 2023. The youth demographic, aged 15-24 years, saw a rise in unemployment from 6.9 per cent in Q1 2023 to 7.2 per cent in the second quarter.
In urban areas, the unemployment rate increased to 5.9 per cent in Q2, up from 5.4 per cent in Q1, while rural areas recorded a decline from 2.9 per cent to 2.5 per cent over the same period.
Wage employment showed a marginal increase, reaching 12.0 per cent in Q2, compared to 11.08 per cent in the preceding quarter. Informal employment, encompassing the informal sector and agriculture, constituted 92.7 per cent of total employment, slightly up from 92.6 per cent in Q1. Rural areas had a higher informal employment rate at 97.3 per cent, while urban areas reported 88 per cent.
The labour force participation rate rose to 80.4 per cent in Q2 2023, up from 79.9 per cent in Q1. Men exhibited a higher participation rate at 82.1 per cent, while women recorded 78.8 per cent. Rural areas had a higher participation rate of 82.6 per cent compared to urban areas at 78.4 per cent.
The data indicates a dynamic labor market with fluctuations in various demographic and geographic segments, reflecting the broader economic conditions in Nigeria.