AFRICA

Sanwo-Olu Signs Record N3.36 Trillion 2025 Budget into Law

Lagos State Governor, Mr. Babajide Sanwo-Olu, on Thursday signed the State’s 2025 appropriation bill of N3.36 trillion into law.

The Lagos State House of Assembly had jerked up the N3.005 trillion 2025 budget proposal by over N300 billion to N3,366,815,224,144 before its passage.

Sanwo-Olu, had on November 21, 2024, presented the appropriation bill of over N3 trillion for 2025 before members of the State House of Assembly for consideration and approval.

The Governor, during the presentation, had told the lawmakers that the budget has a deficit financing of N408,902 billion adding that the deficit would be financed from external and internal loans and bonds.

The fiscal document was structured around five key pillars which include: Infrastructure Sustainability, Economic Diversification, and Institutional Reforms.

However, Sanwo-Olu signed the budget themed: “Budget of Sustainability,” on Thursday, at the Lagos House, Ikeja, at a ceremony that had in attendance, Deputy Governor, Lagos State, Dr. Obafemi Hazmat; Secretary to the State Government, Bimbola Salu-Hudeyin, members of the Lagos State House of Assembly, led by Chairman of the Joint Committee on Appropriation and Finance, Sa’ad Olumoh, members of the state Executive Council.

The Lagos State House of Assembly had on Monday approved a total sum of N3,366,815,224,144 as the total budget of the State for 2025.

The approval followed the presentation of a report on the budget by Olumoh, and the subsequent voice votes by lawmakers at a sitting presided over by the Speaker, Mudashiru Obasa.

According to Sanwo-Olu, “the budget is a blueprint for continuity, resilience and prosperity for residents.”

Giving the details, the governor stated that “the Year 2025 Budget as proposed has a total budget size of N3,005,935,198,401, comprising a total Revenue of N2,597,034,000,000 and deficit financing of N408,902,000,000.

“Total Revenue comprises our Internally Generated Revenue of N1,970,897,000,000 and total Federal Transfers of N626,137,000,000.

“For capital expenditure, we propose a total figure of N1.766,117 trillion, as follows: Capital expenditure: N1.452 Trillion, while repayments is: ₦313.515 Billion.”

The deficit financing, which is within the fiscal sustainability parameters, Sanwo-Olu stressed, shall consist of external and internal loans and bonds.

The approved budget is made of N1,295,630,197,452 as recurrent expenditure while N2,071,185,026,692 was earmarked as capital expenditure for the year ending December 31, 2025.

Sanwo-Olu, while speaking at the signing into law ceremony, called for continued collaboration between the Executive, who would implement the budget, and the Legislature, who would provide the much-needed monitoring and oversight to ensure it achieve the greatest good for the greatest number of people with the limited resources available.

While also calling on residents to join hands with government as it deploys resources in line with the provisions of the budget, Sanwo-Olu, stressed: “Your feedback will be deeply valued, as always, just as your judicious stewardship of all of the tangible dividends of the budget is required.

“The infrastructure that will be delivered belongs to all of us, and we must care for it and protect it as owners. There is no room in our State for abuse, vandalism, neglect, or nonchalance in the management of our commonwealth.

“On our part as the Lagos State Government, we will also live up to the responsibility of delivering governance that is respectful of and responsive to the people at all times.

“I am charging the civil service and all other concerned stakeholders to once again deliver an impressive level of budget implementation in 2025.”

Earlier, the Commissioner for Economic Planning and Budget, Ope George, noted that the N3.366 trillion budget was not only the largest in history but also positions Lagos as the first sub-national government in Nigeria to pass a budget of the magnitude.

George stated, “It reflects under your leadership your unwavering commitment to economic growth, infrastructural development, and the welfare of all Lagosians.

“This historic budget underscores our commitment to prioritising infrastructure, with 62 percent allocated to capital expenditure and 38 percent to recurrent spending.

“This allocation represents our focus on driving long-term investments while maintaining efficient delivery of essential services.

“Our revenue framework, which projects N2.342 trillion from total internally generated revenue and N626.137 billion from federal transfers, is anchored on innovation, accountability, and fiscal sustainability.

“A deficit financing of N398.662 billion has also been carefully structured to ensure financial prudence. As a state known for trailblazing achievements, Lagos continues to set the pace for innovation and development in Nigeria and beyond.

“This administration’s investment in Economic Affairs, with a record allocation of N1.142 trillion, reaffirms our commitment to job creation, enterprise growth, and economic diversification.

“Our allocations to Education (N223.3 billion) and Health (N222.2 billion) underscore our priority to nurture a skilled workforce and deliver world-class healthcare services.

“Recognising the global urgency of environmental sustainability, we have allocated N287.2 billion to environmental initiatives, further demonstrating Lagos’s leadership as the first state to establish a dedicated Climate Change Department and lead climate action at the sub-national level.

“Security and social protection remain at the heart of our development agenda, with allocations of N140.9 billion and N37.3 billion, respectively, ensuring the safety of our citizens and addressing the needs of our most vulnerable populations.”

Segun James

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