Lagos Raises N445bn From Capital Market

Lagos State Government has raised a total of N445bn from the capital market through two bond issuances to finance infrastructure projects across the state.

Governor Babajide Sanwo-Olu disclosed this on Wednesday at the 30th Annual Stockbrokers’ Conference held in Victoria Island, Lagos.

The Governor said the state raised N230bn through conventional and green bonds in November 2025, making it the highest sub-national bond issuance at the time.

He added that the state raised another N215bn last month after investors oversubscribed the N200bn targeted through the capital market.

“Last November, Lagos raised the highest sub-national bond at N230bn in conventional and Green bonds. Some of the proceeds of these bonds are products of many projects people see today in Lagos. Last month, we closed another bond where we wanted to raise about N200 billion from the capital market. But we exceeded the subscription, pushing us to raise N215bn,” Sanwo-Olu said..  

The governor said the proceeds from the bond issuances had been deployed to fund several infrastructure projects, including the extension of the Lagos Rail Mass Transit Blue Line from Okokomaiko to Trade Fair, the Ojo Specialist Hospital and the New Massey Children’s Hospital.

According to him, the Blue Line extension project will add four additional stations, while proceeds from the bond are also being used to complete and equip the 280-bed Ojo Specialist Hospital, including accommodation facilities for medical personnel.

He said the 180-bed New Massey Children’s Hospital was also benefiting from the bond proceeds.

The governor further disclosed that the state was constructing the Omu Creek Bridge in Sangotedo to unlock investment opportunities in an area with about 5,000 hectares of uncultivated land.

Speaking on the growth of the capital market, Sanwo-Olu said its market capitalisation had increased from N32tn to over N160tn in four years.

He projected that the market would grow to N200tn by the first quarter of 2027.

The governor said Lagos had benefited significantly from the expansion of the capital market, but urged stakeholders to make its resources more accessible to other sub-national governments to promote balanced development across the country.

He also called for the adoption of innovative financial products, including tokenisation, to attract young technology-driven entrepreneurs and expand investor participation.

Sanwo-Olu pledged the state government’s support for the N5bn endowment fund initiated by the Chartered Institute of Stockbrokers to train people in the skills and knowledge required to drive the digitisation of the capital market.

Earlier, the 14th President and Chairman of the Governing Council of the Institute, Dr Fiona Ahimie, said the conference theme, “From Capital Mobilised to Prosperity Realised: Financing Nigeria’s Next Era of Growth and Global Competitiveness”, challenged stakeholders to assess the economic and social impact of funds raised through the capital market.

She said a developed capital market was essential to economic growth because it connected investors with businesses and institutions requiring long-term funding for productive activities.