Lagos State has successfully closed the bookbuild for its ₦200 billion bond issuance, attracting overwhelming interest from investors. The offering ended with a 55% oversubscription, reflecting strong confidence in the state’s economic direction.

Commissioner for Finance, Yomi Oluyomi, confirmed that even the ₦14.8 billion Green Bond component saw significant demand, signaling growing investor appetite for impact-focused instruments.

The conventional bond, now the largest ever issued by a non-corporate sub-national entity in Nigeria, drew ₦310 billion in subscriptions—well above the original offer.

Lagos also became the first sub-national government in the country to issue an impact climate bond, with the Green Bond recording ₦29.29 billion in commitments, representing a 97.7% oversubscription.

This indicates both domestic and international investor confidence in the state’s fiscal management and long-term growth potential.

Sanwo-Olu Credits Reforms and Private-Sector Support for Success

Governor Babajide Sanwo-Olu described the results as a reflection of global trust in Nigeria’s economic policies, linking the performance to reforms introduced by President Bola Tinubu.

He noted that the outcome mirrors the positive reception of the Federal Government’s Eurobond issuance.

According to the governor, Lagos’ success demonstrates resilience and the continued support of private-sector partners who share the state’s vision for a safe, functional megacity.

“This is proof that prudent financial management and transparency resonate with investors,” he said, highlighting the administration’s commitment to fostering an enabling environment for business growth.

The long-term goal, Sanwo-Olu added, is to position Lagos as a global financial hub.

Proceeds to Fund Priority Projects Under THEMES+ Agenda

The Lagos State government said proceeds from the bond programme will be allocated to key projects under the THEMES+ agenda, targeting sectors such as transportation, healthcare, education, and environmental sustainability.

Investments aim to improve residents’ quality of life and build a more resilient, prosperous city. “Every project financed by this bond aligns with our commitment to long-term development and economic growth,” the state noted.

It’s been suggested that the success of the issuance could set a new benchmark for sub-national bonds in Nigeria and signal Lagos’ readiness to attract larger, international investors in future programmes.

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