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Governor Babajide Sanwo-Olu has introduced an unprecedented ₦4.237 trillion budget proposal for Lagos State’s 2026 fiscal year, marking the largest allocation in the state’s history. This budget reflects a significant surge in government expenditure compared to previous years, highlighting Lagos’ rapid economic growth and expanding public investment.
Steady Growth in Lagos’ Fiscal Planning
Over the past five years, Lagos State’s budget has experienced remarkable growth, escalating from ₦1.1 trillion in 2021 to the current proposal of ₦4.237 trillion for 2026. This represents an overall increase of ₦3.074 trillion, underscoring the state’s commitment to scaling up development initiatives. The annual budget allocations have consistently risen, with ₦1.75 trillion in 2022, ₦1.76 trillion in 2023, ₦2.26 trillion in 2024, and ₦3.366 trillion in 2025, culminating in this record-breaking figure.
Core Pillars Driving the 2026 Budget
Dubbed the “2026 Budget of Shared Prosperity,” the spending plan is structured around four strategic priorities designed to foster inclusive growth and sustainable development across Lagos:
- People-focused development strategies
- Advancement of modern infrastructure
- Promotion of a resilient and diversified economy
- Transparent and accountable governance
Key Focus Areas: Healthcare, Housing, and Urban Renewal
Governor Sanwo-Olu emphasized that the budget aims to enhance healthcare services, increase access to affordable housing, and accelerate urban renewal projects. Investments will also target critical infrastructure improvements to elevate living standards throughout the metropolis. These initiatives align with the administration’s vision of creating a Lagos that is safe, efficient, and prosperous for all residents.
Looking Ahead: The Final Budget of the Current Administration
This 2026 budget proposal represents the last full fiscal plan under Governor Sanwo-Olu’s current term, setting the stage for continued progress and laying a foundation for future administrations to build upon. With Lagos State’s population projected to surpass 25 million by 2026, according to recent demographic studies, the increased budgetary allocation is timely to meet the growing demands of Africa’s largest city.
