The Lagos State Government has secured approval to list two major bond issuances worth ₦244.82 billion on the platform of FMDQ Securities Exchange Limited, reinforcing its commitment to sustainable finance and long-term infrastructure development.
Thank you for visiting The Vestigator, don't forget to share!
The approval covers a ₦14.82 billion 5-Year 16.00% Series 3 Fixed Rate Green Bond and a ₦230 billion 10-Year 16.25% Series 4 Fixed Rate Bond. Both were issued under the state’s ₦1 trillion Debt and Hybrid Instrument Issuance Programme.
The dual listing, approved by the Exchange’s Board Listings and Markets Committee, marks one of the most significant sub-national debt transactions in Nigeria’s capital market history. It also highlights FMDQ Exchange’s role as a key platform for federal and state governments seeking transparent and efficient access to long-term funding.
As Nigeria’s commercial nerve centre and one of Africa’s largest sub-national economies, Lagos continues to invest heavily in infrastructure, urban development and public services for its more than 20 million residents. The state contributes roughly 30 percent of Nigeria’s GDP and hosts the country’s largest concentration of businesses and financial institutions, making sustained access to capital a strategic priority.
According to the Exchange, proceeds from the bond issuance—sponsored by Chapel Hill Denham Advisory Limited—will be channelled into critical infrastructure projects, sustainability-focused initiatives and programmes aimed at improving the quality of life for residents.
The Series 3 Green Bond is particularly significant for Nigeria’s sustainable finance market. In line with global green bond principles, Lagos State has committed to using the funds strictly for environmentally friendly projects such as renewable energy, energy efficiency, clean transport systems, climate resilience and sustainable urban infrastructure.
Meanwhile, the 10-year Series 4 Fixed Rate Bond offers predictable borrowing costs, supporting stable financial planning and long-term budget management.
Together, both issuances demonstrate the growing involvement of state governments in leveraging capital markets and green financing to bridge infrastructure gaps and tackle environmental challenges.
FMDQ Exchange reaffirmed its commitment to deepening Nigeria’s capital markets by promoting transparency, innovation and sustainable financing solutions. Through platforms like the FMDQ Green Exchange, the broader FMDQ Group PLC continues to position itself as a driver of responsible investment and national development.
