Nigeria’s arts and entertainment sector contributed N728.80 billion to the national economy in the first quarter (Q1) of 2024.

This represents an increase from the N576.67 billion recorded in Q1 of 2023 and the N382.37 billion reported in Q2 of 2023, according to data released by the National Bureau of Statistics (NBS).

The robust growth throws more light on the expansion of Nigeria’s movie, music, arts, and entertainment industries, which have collectively grown by 152.79% year-on-year over the past decade.

From a GDP contribution of N288.31 billion in the first quarter of 2014, these sectors have burgeoned into a major economic force, reaching N728.80 billion as of Q1 2024.

NBS aggregates figures from revenues generated by movie and sound recording productions, including earnings from TV rights, royalties, and fees.

This comprehensive data collection highlights the sector’s burgeoning impact on Nigeria’s broader services sector, which has become a pivotal contributor to the country’s overall GDP.

“The top five sectors driving Nigeria’s growth include arts, entertainment, and recreation, along with information and communication, construction, accommodation and food services, and water supply, sewerage, waste management, and remediation,” said Afolabi Olowoookere, Managing Director and Chief Economist at Analysts’ Data Services and Resources.

“The arts and entertainment sector, in particular, has been a cornerstone of the nation’s economic development during this period.”

The Nigerian entertainment scene has benefitted from a surge in new content driven by increased investments, a burgeoning cinema culture, and the rise of streaming services.

The global popularity of music genres like Afrobeats has also significantly contributed to the sector’s growth.

Google’s Communication and Public Relations Manager in West Africa, Taiwo Kola-Ogunlade, emphasized the global appeal of Nigerian content. “Africa’s biggest export is content,” Kola-Ogunlade stated. “We just need to ensure that our creatives and storytellers are telling amazing stories.”

The sector’s success has been further bolstered by substantial investments from major players.

Netflix, for instance, disclosed that it had invested over $23 million in the Nigerian film industry over the past seven years, supporting 5,140 jobs and over 250 local licensed titles.

This investment contributed $39 million to Nigeria’s GDP, $34 million to household income, and $2.6 million to tax revenue.

Cinemas in Nigeria have also experienced significant growth, generating N18.92 billion in revenue over the past three years.

The box office hits between 2021 and 2023, such as ‘A Tribe of Judah’ and ‘King of Boys,’ have grossed over N1 billion, showcasing the industry’s financial viability.

“The sky is the limit for Nollywood as long as investors continue to support our stories,” said Kelvin Obasuyi, Managing Partner at 56 Capital and an Oxford alumnus.

Despite the economic challenges facing Nigeria, the outlook for the entertainment sector remains positive.

PricewaterhouseCoopers (PwC) identified Nigeria’s media and entertainment industry as one of the fastest-growing creative industries globally in its Global Entertainment and Media Outlook for 2022-2026.

PwC projected an annual consumer growth rate of 8.8% for the sector and highlighted its potential to significantly increase export earnings, which it estimates will soon reach $1 billion.

“The Afrobeat genre of Nigerian music has created a global fear of missing out (FOMO),” said Bemigho Awala, a documentary filmmaker. “Even as our artists sell out venues abroad, Nollywood films are achieving impressive numbers locally and on streaming platforms.”

With continued investment and support, the Nigerian arts and entertainment industry is poised to maintain its upward trajectory, further solidifying its position as a major economic driver in the nation.

A fire outbreak occurred on Wednesday at the Dangote Petroleum Refinery in the Lekki Free Zone, Lagos.

The incident, which took place at the refinery’s effluent treatment plant (ETP), was quickly contained without causing any injuries or significant damage.

In an official statement sent to the media, Anthony Chiejina, Chief Corporate Communications Officer of Dangote Group, assured the public that the situation is under control and there is no cause for alarm.

“We have swiftly contained a minor fire incident at our effluent treatment plant (ETP) today, Wednesday, 26th of June,” the statement read.

“There is no cause for alarm as the refinery is operating normally, and there are no recorded injuries or bodily harm to any of our staff on duty.”

The rapid response by the refinery’s emergency team ensured that the fire did not spread, and operations at the refinery were not disrupted.

The Dangote Petroleum Refinery, a major project of the Dangote Group, is crucial for Nigeria’s oil industry, aiming to reduce the country’s dependence on imported fuel and enhance its refining capacity.

The swift containment of the fire reassures stakeholders and the public of the refinery’s commitment to safety and operational excellence.

The Asset Management Corporation of Nigeria (AMCON) has reported a 212% increase in profits to N108.43 billion in 2023 from N34.73 billion in the corresponding period.

This financial performance was disclosed in a statement by Jude Nwauzor, Head of Corporate Communications at AMCON.

Despite navigating a tough macroeconomic landscape, AMCON managed to achieve substantial gains primarily driven by fair valuation increases on Eligible Bank Assets, which surged to N40.9 billion in 2023 from a significant loss of N187.9 billion in 2022.

The equity portfolio also saw substantial growth, expanding by 82% to N43 billion compared to N7.9 billion in the previous year.

According to the statement, AMCON attributed its significant trading gains to improved performance in the stock market.

Furthermore, the corporation successfully reduced its total liabilities from N6.282 trillion in 2022 to N5.739 trillion in 2023, largely due to repayments of a N500 billion loan from the Central Bank of Nigeria.

Highlighting its operational achievements, AMCON revealed that it achieved 89% of its revenue budget for 2023, with total recoveries amounting to N125.2 billion during the year.

The agency’s collections included N81.65 billion from various obligors, N17.8 billion from share sales, N15.5 billion from reinvestment income, N6 billion from property sales, N3.8 billion from dividend income, and N0.5 billion from rental income.

The leadership under Gbenga Alade, who was appointed in February and confirmed by the Senate in May, has been pivotal in steering AMCON through these challenging times.

The agency expressed confidence in continuing its positive trajectory in 2023, focusing on enhanced recoveries and efficient realization of value from forfeited assets in line with its mandate.

Established in July 2010 by an act of parliament, AMCON is mandated to stabilize Nigeria’s financial system by efficiently resolving non-performing loan assets of banks.

Over the years, it has played a crucial role in mitigating financial risks and promoting stability in the banking sector.

Speaking on the agency’s outlook for the future, AMCON affirmed its commitment to maintaining its strong performance and improving debt recoveries.

The statement emphasized the agency’s strategic focus on maximizing the value of assets under its management through effective disposal strategies and stringent operational controls.

“The positive financial results for 2023 underscore our resilience and strategic approach in navigating the complexities of the economic environment,” stated Gbenga Alade, the Managing Director of AMCON. “We remain dedicated to fulfilling our mandate of safeguarding the financial system and enhancing economic stability.”