Lagos Raises N445bn Through Capital Market To Fund Infrastructure Projects

Lagos State Government has raised a total of N445 billion through two bond issuances in the capital market to finance major infrastructure and development projects across the state.

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

The governor explained that the state raised N230 billion through conventional and green bonds in November 2025, making it the largest sub-national bond issuance at the time.

He added that the government successfully raised another N215 billion last month after investors oversubscribed its initial N200 billion target.

According to Sanwo-Olu, the strong investor response demonstrated confidence in Lagos State and its ability to attract funding from the capital market.

Among the projects benefiting from the funds is the extension of the Lagos Rail Mass Transit Blue Line from Okokomaiko to Trade Fair, which is expected to include four additional stations.

The governor also disclosed that the proceeds were being used to complete and equip the 280-bed Ojo Specialist Hospital, including the provision of accommodation for medical personnel.

Similarly, the 180-bed New Massey Children’s Hospital is benefiting from the funds raised through the bond issuances.

Sanwo-Olu further revealed that the state government was constructing the Omu Creek Bridge in Sangotedo to open up investment opportunities in the area, which has approximately 5,000 hectares of uncultivated land.

Speaking on developments in Nigeria’s capital market, the governor noted that its market capitalisation had increased from N32 trillion to more than N160 trillion within four years.

He expressed optimism that the market could reach N200 trillion by the first quarter of 2027.

While acknowledging the benefits Lagos State had gained from the expansion of the capital market, Sanwo-Olu urged stakeholders to make its financial resources more accessible to other state governments.

He said improving access to capital market funding would enable more sub-national governments to finance development projects and promote balanced economic growth across the country.

The governor also advocated the introduction of innovative financial products, particularly tokenisation, to attract young technology-driven entrepreneurs and encourage wider participation in the investment market.

Sanwo-Olu equally pledged the Lagos State Government’s support for the N5 billion endowment fund established by the Chartered Institute of Stockbrokers to develop the skills and expertise needed to drive the digitisation of Nigeria’s capital market.

Earlier, the 14th President and Chairman of the Governing Council of the Chartered Institute of Stockbrokers, 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 examine how funds raised through the capital market could translate into meaningful economic and social development.

She stressed that a well-developed capital market remained essential to economic growth because it connects investors with businesses and institutions seeking long-term financing for productive investments.

READ ALSO: