Lagos State plays a pivotal role in the Nigerian economy and as a nation’s commercial nerve center, remains the focal point of economic activities. The Lagos Gross Domestic Product [GDP] accounted for 26.7% of Nigeria’s total GDP and more than 50% of non-oil GDP. Over 50% of Nigeria’s non-oil industrial capacity is located in Lagos. Lagos is also Nigeria’s financial hub with all major banks having their headquarters in the City. It is also home to the Nigerian Stock Exchange [NSE]. It accounts for over 80% of the country’s foreign trade flows, and generates over 50% of Nigeria’s port revenues. The estimated GDP of Lagos was put at N27.125trillion [$145.141billion] in 2016 by the Lagos Bureau of Statistics and is expected to rise to N628trillion [$157.728billion] by 2018 with projected average annual growth rate of 4.2% up to 2018. Lagos economy, with an estimated population of 24million is larger than any other economy in the ECOWAS sub-region despite the rebasing of Ghana’s GDP.
Fueled by Public-Private investments, as well as an estimated population of over 24million, Lagos diverse economy is the leading contributor to Nigeria GDP. A 10% growth is expected in the local economy as the State plans to widen the tax base and improve collection methods to boost Local Tax Receipts towards at least NGN360bn by 2017 up from N200bn in 2012, edging towards 80% of annual revenues from 70% of income in the late 2000.
Lagos State remains the economic, financial and commercial nerve center of Nigeria and the ECOWAS. Regionally, her Gross National Product [GNP] is three times that of any West African Country, thus making Lagos State ECOWAS economic hub and the springboard for innovation and development in Nigeria and sub-Saharan Africa.
Lagos in Nigeria’s Economy
- 29 Industrial Estates and 4 Central Business Districts [CBD]
- Largest market in Sub-Saharan Africa.
- Home of the Nigerian Capital and Money Market [Financial Hub]
- West Africa Oil/Gas Pipeline Project and National Power/Energy Load Centre
- Home to Nigeria’s Chief Ports – Apapa & Tin Can Island [70% of total National cargo freight]
- Media hub and international telecommunication gangway [over 50% of Nigeria’s PTO/GSM subscribers]
- Location of Nigeria’s busiest international/regional aviation hub – Murtala Mohammed International Airport, Ikeja [over 70.61% of international and 58.30 % of domestic traffic]
- Home to 70% of the Country’s total industrial investment and 65% of its commercial activities.
- Highest Vehicular Density – over 222/km [National 11km]
- Internally Generated Revenue accounts for over 60% of State’s annual budget skewed in favor of capital expenditure.
- Home to over 200 financial institutions
State Vision: Making Lagos State Africa’s Model Megacity & Global Economic and Financial Hub
State Policy Thrust: Poverty Eradication and Sustainable Economic Growth through Infrastructural Renewal and Development