Lagos Lists N244.82bn Bonds On Nigerian Exchange

The Lagos State government has listed N244.815 billion combined bonds on the Nigerian Exchange Limited (NGX).

The Bonds comprise N14.815 Series 3, 5-year, 16 per cent fixed-rate Green Bond due 2030, and N230 billion Series 4, 10-year, 16.25 per cent fixed-rate bond due 2035.

The bonds, listed on February 9, 2026, are part of the state’s N1 trillion debt and hybrid instruments issuance programme, aimed at financing infrastructure projects and promoting sustainable development.

It would be recalled that Lagos State governor,  Babajide Sanwo-Olu said the net proceeds from the bonds would be used to expand critical infrastructure in key sectors such as transportation, housing, environmental sustainability, healthcare, and education, all aimed at driving sustainable and inclusive growth in the state.

The breakdown of utilisation showed that the proceeds would be used for the expansion of highways to ease mobility across the state, the construction and rehabilitation of roads to boost productivity, and the development of affordable housing schemes to meet the needs of the growing population.

The funds would also be used to upgrade healthcare facilities, including the development of a new 280-bed hospital, the installation of alternative solar power systems across schools, and the establishment of agro-processing hubs to strengthen food security.

Sanwo-Olu said the overwhelming oversubscription for the bonds underlined investors’ confidence in the state’s governance and economy.

He pointed out that since the commencement of his administration, the state has been setting new records in bond issuance, with the first bond issued in 2020, valued at some N110 billion, setting a record at the time, and subsequent bonds surpassing their predecessors.

He said, “Lagos State has now issued the first-ever sub-national green bond in Nigeria, raising N14.815 billion. At the close of the book build, we received total bids of N29.29 billion, with N27.79 billion within the advised price guidance. This overwhelming response is a strong endorsement of Lagos State’s vision for environmental responsibility, aligned with the second pillar of our THEMES+ Agenda and our long-term strategy to build a Lagos that is prosperous, resilient, and environmentally secure for future generations.”

According to him, the issuances serve as testaments to the vision, governance, and fiscal discipline that are hallmarks of the state administration.

Lagos State Commissioner for Finance, Abayomi Oluyomi, said the maiden green bond issuance reflected Lagos State’s unwavering commitment to climate-friendly development, infrastructure sustainability, and environmental resilience.

He noted that the rigorous project selection process undertaken for the green bond underscored the state’s dedication to financing initiatives that align with the United Nations Sustainable Development Goals (SDGs) and deliver measurable environmental impact.

Also, the chief executive officer, Chapel Hill Denham, the lead issuer, Bolaji Balogun, said that while many states in Nigeria face challenges in issuing bonds due to transparency and compliance issues, Lagos stands out as a beacon of best practices and innovation.