Forecast: Construction Value Added in Nigeria

The construction sector in Nigeria saw notable fluctuations from 2013 to 2023, with values peaking at $20.112 billion in 2014 and a low of $14.227 billion in 2016. The sector stood at $19.619 billion in 2023. Recent years indicate moderate yet consistent growth with a year-on-year variation close to 2.63% in 2023. The CAGR for the last five years up to 2023 was 2.9%, highlighting a relatively stable growth trajectory. Forecasts suggest this trend will continue, with the sector expected to reach $21.983 billion by 2028, reflecting a 1.8% CAGR over the next five years and a total growth of 9.31%.

Future trends to watch for include:

• Investment in infrastructure projects driven by urbanization and population growth.
• Government policies and funding for housing and public works.
• Technological advancements and digitization in construction methodologies.
• Impact of global economic conditions on material costs and labor availability.
• Potential disruptions from geopolitical events and environmental factors.