The Lagos State Government has announced the raising of N134.8 billion in long-tenure bonds to finance infrastructure projects in electricity and other key sectors in the state
The State Governor, Babajide Sanwo-Olu, who made the disclosure late Tuesday via his official Twitter account, expressed optimism that the investment would boost the short- and long-term development of key sectors in Lagos state.
He tweeted: “We have raised N134.8 billion in long-tenure bonds, marking another record in accessing capital market funds. This investment will fuel key infrastructure projects in sectors such as education, electricity, roads, and agriculture.
“Today, we signed the transaction instruments for the first sets of allotment in the N1 trillion Debt and Hybrid Issuance Programme. This includes a 10-year tenure bond and a Shariah-compliant Sukuk.
“With the proceeds from the bond and Sukuk, we will be executing various projects pre-inspected by the Securities and Exchange Commission. This includes overhauling 33 public schools in Ajegunle, road infrastructure on the Lekki-Epe corridor, drainage works, and more”, the governor added.
The governor further clarified that Lagos State had secured significant investments to fund key infrastructure, support economic growth drive, generate employment, and improve the lives of the state’s residents.
According to him, the successful issuance of the bonds highlights the Lagos’ resilience as well as investors’ confidence in its ability to responsibly utilize funds for development.
The governor commended the investors in the debt instruments for their belief in Lagos’ tremendous potential and reaffirms the government’s commitment to use the funds transparently and judiciously in its sustained efforts towards building a ‘Greater Lagos’ for future generations.
Sanwo-Olu had, a few weeks ago, announced that the state government would launch an Electricity Policy, publish their off-grid strategy, present an Integrated Resource Plan, and draft a law to establish the Lagos Electricity Market.
While promising that the government will achieve 1 gigawatt (GW) of solar-powered energy in Lagos by 2030, the governor had opening discussions with the World Bank Group for a suitable funding arrangement that will help in achieving the target and transform Lagos State as Africa’s model mega city through the creation of the Lagos Electricity Market.
