13th March, 2025
The Chairman of the Presidential Fiscal Policy and Tax Reform Committee, Mr Taiwo Oyedele, has projected that Lagos State has the potential to generate up to ₦5 trillion annually in Internally Generated Revenue (IGR) if progressive reforms, economic efficiency, and tax harmonization are effectively implemented.
Speaking at the launch of the 2025 Lagos Economic Development Update (LEDU) Report, Oyedele emphasised that Lagos, despite being Nigeria’s economic hub, is yet to optimise its revenue potential compared to other global economies.
He noted that streamlining tax administration, improving transparency, and leveraging technology-driven solutions could unlock significant funding for infrastructure, education, and healthcare.
The event, organised by the Lagos State Ministry of Economic Planning and Budget, was held at the Protea-Select Hotel, Ikeja, with the theme: “Lagos Economic Outlook: Charting a Resilient Path Towards a Sustainable Future.”
Dignitaries in attendance included Mr Ope George, Lagos Commissioner for Economic Planning and Budget; Mr Sam Egube, Deputy Chief of Staff to Governor Sanwo-Olu; Prof. Adeola Adenikinju, President of the Nigeria Economic Society (NES); Dr Seye Oyeleye, Director General of the Development Agenda for Western Nigeria (DAWN) Commission; and Mr Ugodre Obi-Chukwu, CEO of Nairametrics.
Oyedele highlighted key areas for boosting Lagos’ revenue, particularly property tax, which he said could generate at least ₦1 trillion annually.
He proposed improvements in land titling, ease of property transactions, and a structured Land Use Charge (LUC) system to ensure tax predictability and compliance.
He also advocated for AI-driven tax intelligence to track high-income earners and ensure fair taxation while formalising the informal sector, a major driver of Lagos’ creative economy.
Additionally, he stressed the need for harmonised tax policies to enhance transparency, efficiency, and ease of doing business, which in turn would improve tax compliance.
“Lagos has the potential to be the Dubai of Africa, the Singapore of the Atlantic, and the Taiwan of innovation and industry. Achieving this requires bold leadership, innovative policies, and collective action,” Oyedele stated.
Speaking, George reaffirmed Lagos’ commitment to evidence-based policymaking and economic resilience, describing the state as the economic heartbeat of Nigeria and a key driver of Africa’s prosperity.
He stressed the importance of addressing inflationary pressures, revenue constraints, and global market shifts through strategic collaboration between government, industry leaders, and stakeholders.
In her remarks, Mrs Olayinka Ojo, Permanent Secretary of the Ministry of Economic Planning and Budget, stated that the 2025 LEDU Report provides critical insights into fiscal sustainability, labour market dynamics, and revenue generation.
She noted that the report outlines necessary interventions in infrastructure, energy, social protection, skills development, and climate resilience, all of which are central to achieving the Lagos State Development Plan (LSDP).
