…The total bond issuance is N214.8 billion, which is in two categories: a N200 billion, 10-year bond targeted at 24 infrastructure projects across nine ministries, departments, and agencies (MDAs).
WED SEPT 17 2025-theGBJournal| The Lagos State Government is set to issue a N214.8 billion bond, the largest by any sub-national in Africa.
The bond is in two categories: Series III, N14.815 billion Green Bond, the maiden environmental sustainability bond, first to be issued by any sub-national in Nigeria and the N200 billion conventional Bond
Addressing the Investor Forum on the Series III Green Bond and Series IV Bond Issuance under the One Trillion Debt and Hybrid Instrument Issuance Programme, on Friday, at the Eko Hotel and Suite, Governor Babajide Sanwo-Olu called for continued support from the private investors towards the development of the state in the provision of infrastructure needed to keep up with the ever-increasing population and the size of the economy.
He assured potential investors of the state’s financial credibility and its unwavering commitment to development, stressing that Lagos has both the track record and capacity to deliver on key infrastructure projects if adequately funded.
“There are enormous opportunities in Lagos for sustainable growth. With more funding, we can do a lot more. Inflation and rising costs will always be a factor, but your investment today secures tomorrow’s progress,” Sanwo-Olu said.
The Governor noted that Lagos has maintained a tradition of continuity, with successive administrations building on past achievements, and reiterated the security of investor funds.
In his welcome address, Commissioner for Finance, Mr. Abayomi Oluyomi, highlighted the state’s longstanding fiscal responsibility, stating that Lagos State Government is set to issue a new series of bonds to fund infrastructure development and promote environmental sustainability.
The total bond issuance is N214.8 billion, which is in two categories: a N200 billion, 10-year bond targeted at 24 infrastructure projects across nine ministries, departments, and agencies (MDAs).
These MDAs cut across housing, health, environment, agriculture, transportation, innovation, science & and technology.
The second is a N14.815 billion green bond – the first of its kind by a sub-national government in Nigeria. The proceeds from the green bond will be channelled into environmentally sustainable initiatives such as renewable energy, climate change adaptation, and sustainable water and wastewater management.
Speaking in the same vein, CEO of Chapel Hill Denham Advisory Services Limited, Mr. Bolaji Balogun declared that, “Lagos is first among others, not only in this country, but on this continent, that is why we feel confident pushing the envelope and asking the investing markets to work with us to raise 200 billion naira of capital,”
Over the last 17 years, Lagos has issued in dollar equivalent more than $3.1 billion of bonds in Nigeria’s capital markets without failing in its commitment, a credibility that should be complemented.
Mr. Balogun went further to state that the bonds will be launched next week, and will be open for approximately five days.
“We hope to price these instruments and to deliver proceeds to Lagos state within 15 to 20 days from today,” he said.
Still on the State credibility, Mr. Balogun stated that the state has maintained a debt-service-to-revenue ratio of 19.2 per cent, earning it a local credit rating of A1+ and a reaffirmed AAA rating from Fitch Ratings. He attributed these strong ratings to the DMO’s excellent performance.
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