With over N1.3 trillion in annual internally generated revenue (IGR), Lagos State now funds about 60 percent of its budget from internal sources, Governor Babajide Sanwo-Olu has said.
- +With over N1.3trn annually, IGR accounts for 60% of Lagos budget
Sanwo-Olu made this known while receiving members of the Joint Revenue Board, led by Zacch Adedeji, who also serves as chairman of the National Revenue Service (NRS), at Lagos House, Marina.
Sanwo-Olu made this known while receiving members of the Joint Revenue Board, led by Zacch Adedeji, who also serves as chairman of the National Revenue Service (NRS), at Lagos House, Marina. The governor declared open the 159th meeting of the board and urged state governors to empower their respective revenue agencies.
“In 2024, we generated N1.3 trillion in internally generated revenue—a 45 percent increase over the previous year—and IGR now finances over 60 percent of our budget,” Sanwo-Olu said.
Although the state has yet to officially confirm its total IGR for 2025, out of the N2.289 trillion targeted, checks by BusinessDay indicate that about N1.34 trillion had been generated as of the third quarter.
According to the governor, the consistent growth in IGR is not accidental but driven by investments in digital tax systems, expansion of the tax net, improved taxpayer trust, and the professionalisation of the Lagos State Internal Revenue Service (LIRS). He added that Lagos is willing to share its experience with the federal government and other states.
“Lagos is your partner in this reform journey. Whatever collaboration that serves the national interest—sharing data, aligning systems, coordinating compliance—you will find us open and willing,” he noted.
Sanwo-Olu further urged governors across the country to grant autonomy and adequate support to their State Internal Revenue Services (SIRS) to boost revenue generation and accelerate development.
“I will continue to encourage my colleague governors to understand that only when they provide you (SIRS chairmen) with the necessary tools and independence can you fully utilise your expertise,” he added.
“They need to give you the space to operate, ensure your independence, and allow you to complete your tenure. Only then will taxpayer confidence improve, leading to greater compliance.”
The governor added that his administration has prudently utilised IGR to deliver development under its THEMES+ agenda.
Earlier, Adedeji, represented by Olusegun Adesokan, Executive Secretary of the Joint Revenue Board, described the meeting’s theme—“From Fragmentation to Coherence: Advancing Sub-National Tax Administration through Harmonisation”—as timely and relevant. He commended Sanwo-Olu for his continued support for effective revenue administration and sustainable development.
“It is not surprising that the Lagos State Internal Revenue Service (LIRS), under the leadership of Ayodele Subair, remains the leading sub-national revenue authority in Nigeria,” he said. Subair also noted that the Joint Revenue Board plays a critical role in strengthening
