Babajide Sanwo-Olu has commended the performance of the Lagos State Internal Revenue Service (LIRS) following a 45 percent increase in the state’s internally generated revenue (IGR) to ₦1.3 trillion in 2024, while calling for greater operational autonomy for tax agencies across Nigeria.
Speaking at the State House, Marina, during the 159th meeting of the Joint Revenue Board (JRB), the governor said Lagos’ sustained revenue growth was the outcome of deliberate reforms implemented over the years.
He noted that IGR now accounts for over 60 percent of the state’s annual budget, reinforcing Lagos’ position as Nigeria’s leading subnational revenue generator.
Sanwo-Olu attributed the increase in revenue to sustained investment in digital tax infrastructure, expansion of the tax net and improved engagement with taxpayers.
According to him, the state’s approach has strengthened compliance and enhanced trust between the government and residents.
He stressed that replicating Lagos’ success across other states would require granting revenue agencies independence and stability in leadership.
The governor warned that frequent political interference and disruption of tenures could undermine efficiency and weaken public confidence in tax administration.
Sanwo-Olu said revenue authorities must be allowed to operate professionally with clearly defined mandates, adding that granting full tenure to leadership would improve performance and institutional continuity.
The governor also highlighted the linkage between revenue generation and infrastructure development in Lagos, stating that taxes collected from residents and businesses are being translated into visible projects.
He cited investments in the Blue and Red Rail Lines, road expansion initiatives, healthcare facilities and new universities as examples of how public revenue is being deployed to drive economic growth.
Earlier, the Executive Chairman of LIRS, Ayodele Subair, said the Joint Revenue Board has become central to strengthening Nigeria’s tax system through improved coordination and reform implementation.
He added that recent tax laws have increased the urgency for collaboration across all tiers of government.
Subair noted that Lagos’ hosting of the meeting after a five-year interval reflects its strategic importance as Nigeria’s economic hub.
Representing the Chairman of the Joint Revenue Board, Zacch Adedeji, the Executive Secretary of JRB, Olusegun Adesokan, commended Lagos for its consistent revenue performance and governance reforms.
He said the state’s revenue growth demonstrates the impact of long-term policy consistency and institutional strengthening.
Adesokan stated that Lagos has evolved from generating less than ₦94 billion annually in previous years to over ₦1.7 trillion, underscoring the scale of transformation achieved through reforms.
He described Lagos as a benchmark for tax administration in Nigeria and said strong revenue performance, when effectively managed, translates into tangible development outcomes for citizens.
The Executive Chairman of the Akwa Ibom State Internal Revenue Service, Okon Okon, also commended the Lagos State Government for hosting the meeting and highlighted the positive experiences of participants during their stay, including infrastructure tours within the state.
The Joint Revenue Board meeting brought together heads of revenue agencies across the federation alongside representatives of key federal institutions, including the Federal Ministry of Finance, National Identity Management Commission, Revenue Mobilisation, Allocation and Fiscal Commission, Nigeria Customs Service, Nigeria Immigration Service and the Federal Road Safety Corps.