Lagos State Government has announced that it generated a total of ₦2.6 trillion in revenue in 2025, with ₦1.87 trillion coming from Internally Generated Revenue (IGR), marking a significant milestone in its fiscal performance.
The announcement was made by the Commissioner for Finance, Abayomi Oluyomi, during a ministerial press briefing held at the Bagauda Kaltho Press Centre in Alausa, Ikeja, as part of activities marking the seventh anniversary of Governor Babajide Sanwo-Olu’s administration.
According to the government, total revenue increased from ₦2.3 trillion in 2024 to ₦2.6 trillion in 2025, representing a 16 percent growth. IGR also rose by 18.5 percent, moving from ₦1.58 trillion in 2024 to ₦1.87 trillion in 2025.
Oluyomi noted that tax revenue collection recorded strong growth, rising from ₦678.13 billion in 2023 to over ₦1 trillion in 2024, the first time the Lagos Internal Revenue Service (LIRS) crossed the trillion-naira mark. This figure further climbed to ₦1.443 trillion in 2025, reflecting continued expansion in revenue collection.
He attributed the performance to reforms in tax administration and aggressive digital transformation, including upgrades to the LIRS e-tax platform with features such as tax filing integration, geo-tagging, corporate registry linkage, and expatriate tracking in collaboration with immigration authorities.
The state also strengthened multiple payment channels such as mobile apps, POS systems, USSD, WhatsApp, and online platforms to improve compliance and ease of payment.
On debt management, the commissioner said Lagos maintained fiscal discipline despite ongoing infrastructure projects, adopting a hybrid financing model combining loans and innovative funding strategies. He also revealed that the state issued a ₦230 billion bond to finance projects in healthcare, housing, transport, agriculture, and environmental development.
Lagos reportedly maintained a Debt-Service-to-Revenue ratio of 19.2 percent and a Total Debt-to-GDP ratio of 4.11 percent, both within safe fiscal limits, while also receiving strong ratings from international agencies including Fitch Ratings.
The government highlighted major projects funded through these initiatives, including rail expansion, hospitals, bridges, and housing developments, as part of efforts to strengthen Lagos’ position as Nigeria’s economic hub.
