Mr Viral
….Targets ₦300bn Benchmark
By Olasunkanmi Akoni
The Lagos State Government on Thursday signed a ₦14.815 billion 16.00% Series III Green Bond and a ₦230 billion 16.25% Series IV Bond under its ₦1 trillion debt and hybrid instruments issuance programme.
The signing ceremony, held in Victoria Island, had Governor Babajide Sanwo-Olu in attendance alongside members of the State House of Assembly, State Executive Council, permanent secretaries, and representatives of the investment community.
Commissioner for Finance, Abayomi Oluyomi, described the issuance as the largest ever by Lagos State and the largest sub-national bond issuance in Nigeria.
According to him, the Series III Green Bond represents the first of its kind by any state government in the country.
He noted that the bond met global certification standards, having received validation from the Climate Bonds Initiative (CBI), and followed a strict project-selection process aligned with the UN Sustainable Development Goals.
Oluyomi added that the state exceeded its initial target for the Series IV Bond, raising ₦230 billion against the planned ₦200 billion. He remarked that investor interest demonstrated growing confidence in Lagos State’s economic direction and capital market participation, saying the state’s benchmark for future issuances is now ₦300 billion, subject to regulatory limits.
According to the Commissioner, proceeds from the bonds will fund major infrastructure projects including:
Expansion of the Blue and Red Rail Lines
Construction of the Lekki–Epe Airport Road
Development of affordable housing projects
Upgrading healthcare facilities, including a planned 280-bed hospital
Installation of solar power systems in schools
Establishment of agro-produce hubs to strengthen food security
Oluyomi acknowledged the support of the Lagos State Government, relevant federal agencies, advisers, issuing houses, legal teams, trustees, custodians, rating agencies, receiving banks, and stockbrokers involved in the process.
He also reiterated the government’s commitment to transparency, accountability, and prudent utilisation of funds raised, noting that the bond proceeds would support infrastructure, environmental sustainability, healthcare, education, and urban development initiatives across the state.
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