Nigeria’s unemployment rate fell to 4.3% in Q2 2024, signaling improved labour market conditions. The National Bureau of Statistics (NBS) reported a decline from 5.3% in Q1 2024, showing steady recovery from 5.0% in Q3 2023.
The Labour Force Participation Rate rose to 79.5%, up from 77.3% in the previous quarter, indicating higher workforce engagement. Similarly, the Employment-to-Population Ratio improved to 76.1%, up from 73.2% in Q1.
Self-employment continued to dominate, making up 85.6% of total employment, a slight increase from 84% in Q1. Informal employment rose marginally to 93%, highlighting the economy’s reliance on informal sectors.
Urban unemployment dropped to 5.2%, down from 6.0% in Q1 2024, while rural unemployment saw an even steeper decline, falling to 2.8% from 4.3%. This disparity underscores the importance of agriculture and informal activities in rural employment, compared to urban areas where formal and service jobs dominate.
The youth unemployment rate (ages 15–24) also decreased to 6.5% from 8.4% in Q1, while gender disparities persisted. Female unemployment stood at 5.1%, higher than the male rate of 3.4%, signaling the need for more gender-inclusive policies.
Other labour underutilisation metrics showed improvement. Time-related underemployment decreased to 9.2%, down from 10.6% in Q1, and the broader measure of labour underutilisation (LU2) dropped to 13.0% from 15.3%.
These figures reflect a positive trend in Nigeria’s labour market, with ongoing improvements in employment opportunities.
