Lagos state says it generated N2.6 trillion in total revenue in 2025, representing a 16 percent increase from the N2.3 trillion recorded in 2024.
Abayomi Oluyomi, commissioner for finance, spoke on Friday during a ministerial press briefing marking the seventh anniversary of the administration of Babajide Sanwo-Olu, governor of Lagos, in Alausa, Ikeja.
Oluyomi said the state’s internally generated revenue (IGR) rose to N1.87 trillion in 2025, reflecting an 18.5 percent increase from N1.58 trillion in the previous year.
He also said that tax revenue collection increased significantly over the period, rising from N678.13 billion in 2023 to N1.04 trillion in 2024 — a 54.2 percent growth.
The commissioner said the milestone marked the first time the Lagos State Internal Revenue Service (LIRS) crossed the N1 trillion revenue threshold.
According to Oluyomi, tax revenue climbed further to N1.44 trillion in 2025, representing a 38 percent increase over the 2024 figure.
He attributed the growth to improvements in tax administration and expanded digital channels introduced to ease revenue collection.
The commissioner said the state enhanced existing payment platforms, including mobile channels, point-of-sale (POS), USSD, WhatsApp, and online options, to improve efficiency.
Oluyomi said the state also completed its transition from a hybrid filing model to a fully electronic tax filing system in 2023, adding that additional digital modules have since been introduced.
“Lagos State Internal Revenue Service (LIRS) remains focused on broadening the tax base, closing revenue gaps, and fostering long-term revenue growth, all essential to funding the State’s expanding urban and infrastructure requirements,” he said.
Speaking on debt and funds management, the commissioner said Lagos maintained a debt-service-to-revenue ratio of 19.2 percent — below the 30 percent fiscal responsibility threshold.
Oluyomi added that the state’s total debt-to-GDP ratio stood at 4.11 percent, significantly lower than the World Bank benchmark of 20 percent.
