Lagos budget: How Sanwo-Olu plans to spend N4.24trn in 2026

Lagos State Governor Babajide Sanwo-Olu has proposed a N4.237 trillion budget for 2026, dubbed the “Budget of Shared Prosperity,” aimed at expanding social support, accelerating infrastructure delivery, and boosting economic growth.

The Governor said the budget would be financed largely through a projected N3.12 trillion in Internally Generated Revenue (IGR) and federal transfers, with the remainder coming from bonds and loans within sustainable fiscal limits.

Recurrent expenditure accounts for N2.052 trillion (48%), while capital expenditure is N2.185 trillion (52%).

Sanwo-Olu outlined key sectoral allocations, including N249 billion for education, N339 billion for health, N147 billion for security, N236 billion for the environment, N124 billion for housing, and N70 billion for social protection.

He earmarked N1.372 trillion for economic affairs, covering tourism, creative arts, transportation, infrastructure, agriculture, and industrial development.

The Governor emphasized the budget’s alignment with his T.H.E.M.E.S+ Agenda, focusing on human-centered growth, modern infrastructure, thriving economy, and effective governance.

He pledged to complete ongoing projects, advance urban renewal, strengthen flood resilience, and implement smart city solutions.

Sanwo-Olu noted that Lagos had already secured over N1 trillion in new investment commitments in 2025 and highlighted reforms under President Bola Ahmed Tinubu that have expanded revenue pathways for the State.

The Lagos House of Assembly, led by Speaker Rt. Hon. Mudashiru Obasa, described the budget as comprehensive and aligned with the State’s growth aspirations.

Obasa assured that the Assembly would scrutinize the proposal to ensure it meets the needs of Lagosians.