Lagos generates N1.7 trillion IGR in 2025 – Sanwo-Olu

Lagos State generated over N1.7 trillion in internally generated revenue (IGR) in 2025, reinforcing its position as Nigeria’s leading sub-national revenue powerhouse and setting a benchmark for other states to follow.

Governor Babajide Sanwo-Olu disclosed this on Wednesday, while urging state governments across the country to empower their Internal Revenue Services to boost revenue generation and drive development.

The N1.7 trillion revenue figure represents a 39 per cent increase from the N1.2 trillion recorded in 2024, highlighting sustained growth driven by reforms, digitalisation and improved tax compliance.

Sanwo-Olu stressed that such performance is only possible when tax agencies are granted independence, adequate resources and operational stability.

“It is only when you give revenue agencies what they need and allow them to work independently that you can fully harness their expertise,” he said during a meeting of the Joint Revenue Board in Lagos.

He noted that Lagos’ success was built on deliberate investments in digital tax systems, expansion of the tax net and efforts to build trust with taxpayers, adding that internally generated revenue now accounts for a significant portion of the state’s budget.

According to him, the improved revenue has enabled the government to deliver critical infrastructure and social projects under its THEMES+ agenda for over 24 million residents.

Chairman of the Joint Revenue Board, Zacch Adedeji, also commended Lagos for its performance, describing it as a product of sustained reforms that began years ago.

He noted that the state’s revenue profile has grown from less than N94 billion annually before reforms commenced in 2007 to over N1.7 trillion in 2025.

Adedeji said the revenue growth has translated into tangible development outcomes, including major infrastructure projects such as the Ojota–Opebi Link Bridge, improvements in food security through the Abijo Agro Food Hub, and upgrades in education facilities like the Tolu Schools Complex.

He added that Lagos’ ongoing rail mass transit project further demonstrates how strong revenue mobilisation can support long-term development goals.

Also speaking, Chairman of the Lagos State Internal Revenue Service, Ayodele Subair, credited the achievements to sustained government support, including investment in infrastructure, funding and staff welfare.

He described Lagos as a model for effective tax administration, expressing confidence that continued collaboration among states would strengthen Nigeria’s overall revenue system.

The development comes as stakeholders at the Joint Revenue Board meeting emphasised the need for harmonised tax systems across states to improve efficiency, transparency and national economic growth.