The Lagos State House of Assembly is expected to receive the report of its Joint Committee on Economic Planning and Budget and the Committee on Finance over Governor Babajide Sanwo-Olu’s request for approval of a ₦200 billion bond issuance and participation in a $17 million infrastructure financing programme.
The committees were directed by the Speaker, RT. Hon. Mudashiru Obasa, to scrutinise the proposals and submit their recommendations after the requests were presented during Tuesday’s plenary.
The requests, conveyed in separate letters by the Commissioner for Finance, Abayomi Oluyomi, were read on the floor of the House by the Clerk, Mrs. Adenike Oshinowo.
In the first request, the state government sought the Assembly’s resolution to participate in the Federation Account Allocation Committee (FAAC) Receivables Discounting Programme under the Lagos State Infrastructure Finance Fund.
According to the commissioner, the programme is designed to provide immediate liquidity by leveraging the state’s future FAAC allocations to finance critical infrastructure and capital projects.
Oluyomi said the initiative would enable Lagos State to access third-party funding estimated at $17 million to support key developmental projects, adding that legislative approval is a prerequisite for the state’s participation.
In a separate request, the commissioner sought the Assembly’s approval for the proposed ₦200 billion Series V bond issuance under the state’s ₦1 trillion Debt and Hybrid Instruments Issuance Programme.
He explained that Lagos has consistently utilised the debt capital market to finance strategic infrastructure and social development projects aimed at sustaining economic growth and urban development.
According to the proposal, proceeds from the bond would be deployed to finance priority projects, including the New Massey Children’s Hospital, Lagos Island General Hospital, the Lagos Rail Mass Transit Line, the Omu Creek Bridge, and other critical infrastructure across the state.
Oluyomi urged lawmakers to approve the requests to enable the government complete the necessary processes for accessing the capital market, assuring the House of the administration’s commitment to prudent debt management, fiscal discipline and sustainable infrastructure development.
The Assembly is expected to deliberate on the committee’s report and take a decision on the requests during plenary.
