Lagos State Governor, Babajide Sanwo-Olu, has stated that the exceptional performance of the state’s latest bond issuances represents a strong expression of global confidence in Lagos’ economy, governance structure, and long-term development plan.
Speaking at the official signing ceremony for the state’s Series III Green Bond and Series IV Conventional Bond, the governor noted that the overwhelming subscription from investors demonstrated trust in Lagos’ stability and commitment to sustainable growth.
According to him, “The performance of our green bond is not just a financial milestone; it is a manifestation of global confidence in Lagos. This transaction speaks to our credibility, our preparedness, and our shared aspiration to build a resilient and sustainable city.”
Lagos recorded a total bid book of ₦339 billion across both issuances, far exceeding expectations. The ₦14.815 billion Series III Green Bond received ₦29.29 billion in bids, while the ₦200 billion Series IV Conventional Bond attracted ₦310.06 billion. The state activated its green-bond option to raise ₦230 billion, making it the largest sub-national bond issuance in Sub-Saharan Africa. The green bond also became the first-ever issued by any subnational government in Nigeria, reinforcing Lagos’ pioneering role in climate-resilient financing.
Sanwo-Olu said the bond success reflects the state’s fiscal discipline, economic strength and commitment to environmental sustainability under the THEMES+ development agenda, adding that “these results show trust- trust in our governance, trust in our transparency, and trust in our development trajectory.” He said!
He assured residents that the funds will be invested in critical infrastructure across transportation, housing, healthcare, education, environmental sustainability and urban renewal, promising complete transparency and accountability in their deployment.
He thanked President Bola Tinubu, the Federal Ministry of Finance, the Debt Management Office, the Securities and Exchange Commission, the National Pension Commission, the Lagos State House of Assembly, the Executive Council and all technical partners for enabling the achievement.
The governor also disclosed that he was recently honoured with the Time Africa Impact Personality of the Year Award at the G20 Africa Impact Summit in Johannesburg, describing it as a testament to Lagos’ growing global relevance.
Lagos State Commissioner for Finance, Abayomi Oluyomi, also described the ₦14.815 billion green bond issuance as a landmark moment in Nigeria’s domestic capital market. He stated that the bond complies with all international certification standards under the Climate Bonds Initiative and will finance SDG-aligned projects, including healthcare upgrades, solar energy installations, education infrastructure, food security initiatives, and the expansion of urban transportation.
He confirmed that the Series IV Conventional Bond successfully raised ₦230 billion, explaining that investor appetite indicated Lagos could raise between ₦300 billion and ₦500 billion comfortably in future issuances if regulatory limits allowed. Oluyomi attributed the success to the leadership of Governor Sanwo-Olu and Deputy Governor Dr Obafemi Hamzat, as well as the support of the Lagos State House of Assembly, federal institutions, advisers, issuing houses, trustees, custodians, stockbrokers and rating agencies.
He also expressed gratitude to both local and international investors for what he described as their ongoing confidence in Lagos’ “financial management and long-term development agenda.”
The United Kingdom also hailed Lagos State’s achievement. Representing the UK Deputy High Commissioner, Temilola Akinrinade, Private Sector Development Adviser at the Department for International Development (DFID), said Lagos and Nigeria “should be incredibly proud” of the milestone, which she said reflects strong investor confidence and aligns with Nigeria’s recent economic reforms under President Bola Tinubu.
She explained that the green bond signing is the product of years of collaboration between the UK government, Lagos State and Financial Sector Deepening Africa (FSDA), which supported the development of the state’s green bond framework and project pipeline. Akinrinade noted that countries around the world are shifting toward long-term climate-compatible financing, and green bonds provide affordable capital for projects that make economies cleaner and more resilient.
She added that the UK is proud to have supported three successful federal sovereign green bond issuances and continues to back major initiatives such as the Lagos Free Zone through a ₦53 billion InfraCredit guarantee. She also highlighted the partnership between the City of London and Lagos State to develop the Lagos International Financial Centre, which she described as an ambitious project with the potential to position Lagos as a leading regional capital market hub.
Akinrinade said the massive oversubscription of Lagos’ issuances sends a global message that sub-national governments can access capital markets at scale, attract strong demand and issue high-quality green instruments. “This creates real opportunities to mobilise capital for climate-resilient growth,” she said, congratulating Lagos once again for setting an important precedent for other states and emerging markets.
