The non-oil sector expanded at a slower pace, growing by 2.75% y/y (Q2-23: +3.58% y/y) as currency pressures witnessed in the period weakened the sector’s performance. As a result, Services sector GDP growth settled at 3.99% y/y (Q2-23: +4.42% y/y), undermined by the slow growth across the ICT (+6.69% y/y vs Q2-23: +8.60% y/y), Trade (+1.53% y/y vs Q2-23: +2.41% y/y), and Real estate (+1.90% y/y vs Q2-23: +1.87% y/y) sub-sectors. However, the Finance & Insurance sub-sector grew by 28.21% y/y in Q3-23 (Q2-23: +26.84% y/y), supported by increased credit creation as the FX liberalisation implemented in the period triggered the revaluation of FCY loans. Elsewhere, the Manufacturing sector (+0.48% y/y vs Q2-23: +2.20% y/y) recorded slower growth in the quarter, driven by the heightened production costs worsened by rising energy costs and currency pressures. Elsewhere, the Agriculture sector grew by 1.30% y/y (Q2-23: +1.50% y/y) as persistent insecurity in the food-producing belt of the country, higher input costs and rainfall deficit continued to hamper activities in the sector.
