Lagos State Governor, Babajide Sanwo-Olu, on Tuesday presented a N4.237 trillion budget proposal for the 2026 fiscal year to the Lagos State House of Assembly for consideration and approval.
The proposal, tagged “Budget of Shared Prosperity,” represents an increase of over N1 trillion from the N3.005 trillion budget for 2025.
Sanwo-Olu stated that the proposed budget comprises a total revenue of N3.993 trillion, leaving a deficit financing of N243.332 billion. According to him, the revenue expectations include internally generated revenue (IGR) of N3.119 trillion and federal transfers of N874 billion.
He proposed a capital expenditure of N2.185 trillion and recurrent expenditure of N2.055 trillion, which covers personnel costs, overheads, and debt servicing.
The governor explained that the budget is anchored on four core pillars:
- Human-centred development,
- Modern infrastructure,
- A thriving economy, and
- Effective governance.
Sanwo-Olu noted that Lagos has consolidated its position as Africa’s second-largest city economy after Cairo, attributing the achievement to the innovation, resilience, and consistency of residents.
He highlighted major milestones recorded by the state, including hosting Africa’s first E1 Electric Powerboat Grand Prix, winning hosting rights for the 2026 Creative Africa Nexus, and securing the 2027 Intra-African Trade Fair.
The governor also listed achievements across various sectors in 2025 such as education, healthcare, social protection, transport, housing, environmental management, agriculture, and technology. He said the administration had completed over 250 educational infrastructure projects, expanded healthcare facilities, and strengthened the state’s social register.
According to Sanwo-Olu, the state is transitioning from simply building infrastructure to integrating systems across roads, rail, waterways, power, and digital networks to create a functional mobility ecosystem.
In his remarks, Speaker Mudashiru Obasa pledged a thorough review of the proposal before passage. He noted that the budget aligns with Lagos’ development ambitions and reflects the government’s commitment to improving healthcare, education, transportation, security, and governance.
Obasa commended the governor for steering the state through economic challenges while sustaining a consistent pace of infrastructure development.
