LASG Set to Issue ₦214.8 Billion Bonds, Woos Investors

In another landmark financial move, the Lagos State Government has announced the issuance of a ₦214.8 billion bond, the largest by any sub-national in Africa, under its ₦1 trillion Debt and Hybrid Instrument Issuance Programme.

The issuance comprises two categories:

• ₦200 billion conventional bond (Series IV) to fund 24 infrastructure projects across nine ministries, including housing, health, environment, agriculture, transportation, and science and technology.
• ₦14.815 billion Green Bond (Series III) — Nigeria’s first sub-national environmental sustainability bond, with proceeds earmarked for renewable energy, climate change adaptation, and sustainable water management.

Speaking at the Investor Forum held at Eko Hotel and Suites, Governor Babajide Sanwo-Olu urged investors to back Lagos’ growth agenda:

“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 assured of Lagos’ financial credibility, noting that the State has a history of continuity in governance, strong fiscal discipline, and a reputation for honoring all debt obligations.

Commissioner for Finance, Mr. Abayomi Oluyomi, emphasized that the bond proceeds will strengthen Lagos’ infrastructure pipeline while deepening environmental sustainability initiatives.

Echoing this, Mr. Bolaji Balogun, CEO of Chapel Hill Denham Advisory Services, praised Lagos’ leadership:

“Lagos is first among others, not only in Nigeria but across the continent. That is why we feel confident working with the markets to raise this capital.”

Over the past 17 years, Lagos has issued over $3.1 billion (equivalent) in bonds in Nigeria’s capital markets without default, earning a strong debt-service-to-revenue ratio of 19.2%, an A1+ local credit rating, and a reaffirmed AAA Fitch rating.

The new bonds are scheduled to launch next week and will remain open for about five days, with proceeds expected within 15–20 days.