Governor Babajide Sanwo-Olu presents Lagos State’s N3.005 trillion 2025 budget, emphasising sustainability, growth, and capital expenditure.
Lagos State Governor, Babajide Sanwo-Olu, has presented a robust 2025 budget proposal worth over N3 trillion to the State House of Assembly, earmarked for passage into law.
At a plenary session led by the Speaker of the House, Hon. Mudashiru Ajayi Obasa, the Governor labelled the budget as the “Budget of Sustainability,” setting a framework for the state’s continued growth and fiscal responsibility.
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Governor Sanwo-Olu’s budget proposal totals N3.005 trillion (Three Trillion, Five Billion, Nine Hundred and Thirty-Five Million, One Hundred and Ninety-Eight Thousand, Four Hundred and One Naira).
The plan comprises N2.597 trillion in total revenue, which includes N1.970 trillion from internally generated revenue and N626 billion in federal transfers.
To balance this, the budget also proposes deficit financing of N408.9 billion through loans and bonds, which the Governor assured is within the state’s fiscal sustainability parameters.
Sanwo-Olu highlighted the strategic distribution of funds across various sectors, underlining his administration’s focus on infrastructure, public welfare, and economic growth. The budget includes:
- Recurrent Expenditure: N1.239 trillion (41%) allocated for overhead costs, personnel, and recurrent debt service.
- Capital Expenditure: N1.766 trillion (59%) dedicated to long-term development projects.
The Governor elaborated on the detailed sectoral allocations:
- Economic Affairs: N908.7 billion
- Environment: N233.2 billion
- Health: N204 billion
- Education: N208.4 billion
- Security, Safety, and Public Order: N124.1 billion
- Social Protection: N47.1 billion
The largest portion, N1.452 trillion, is allocated to capital expenditure, with N313.5 billion earmarked for repayments.
Recurrent expenditures include N722.6 billion for overheads, including N432.6 billion for general overheads, N139.7 billion for subventions, and N150.3 billion for dedicated funds.
Personnel costs are set at N392 billion, while recurrent debt charges are estimated at N125.2 billion.
Governor Sanwo-Olu emphasized that the budget aligns with the administration’s goals to stimulate sustainable economic growth, improve public services, and enhance Lagos State’s infrastructure.
He assured the House that despite the deficit, the state’s financial strategies would ensure that the budget remains sustainable, with a combination of external and internal financing avenues.
As the 2025 budget proposal moves through the legislative process, stakeholders are closely monitoring the alignment of these financial commitments with the state’s development agenda.
