LAGOS, Nigeria — Lagos State Governor Babajide Sanwo-Olu has advocated the increased use of sukuk, green bonds and other ethical financing instruments to support economic growth, infrastructure development and sustainable investment across Nigeria.
The governor said alternative financing mechanisms can play a significant role in mobilising long-term capital for critical sectors of the economy while promoting responsible and environmentally sustainable investments. He noted that diversified funding sources are essential to addressing the country’s infrastructure deficit and supporting inclusive economic development.
Sanwo-Olu explained that sukuk and green bonds have proven effective in financing projects with measurable social and economic benefits in several countries. According to him, expanding the use of such instruments would help governments and private investors channel resources into productive ventures capable of generating employment and stimulating economic activity.
He stressed that ethical financing should be viewed as a strategic tool for funding infrastructure, renewable energy, transportation, housing and other development priorities. The governor added that investments supported through these financing models can improve public services while strengthening investor confidence in the Nigerian economy.
The Lagos State governor also encouraged policymakers, financial institutions and private sector stakeholders to deepen collaboration in developing innovative financing solutions that support long-term national development. He said strengthening Nigeria’s capital market and expanding access to sustainable financial products would enhance economic resilience.
Sanwo-Olu noted that green financing, in particular, offers opportunities to support environmentally friendly projects that contribute to climate resilience and sustainable urban development. He said investments in clean energy, environmental protection and resilient infrastructure are increasingly important in addressing modern economic and environmental challenges.
Financial experts have identified sukuk and green bonds as important instruments for attracting investment into projects that deliver both financial returns and broader developmental benefits. They argue that wider adoption of such financing options could improve access to capital while supporting sustainable growth objectives.
The governor reaffirmed Lagos State’s commitment to policies that encourage innovation, investment and responsible financial management. He expressed confidence that expanding the use of ethical financing instruments would contribute to stronger economic performance, increased infrastructure development and improved living standards.
Sanwo-Olu urged stakeholders across the public and private sectors to continue exploring innovative funding mechanisms capable of supporting Nigeria’s long-term economic transformation while ensuring that investments remain transparent, accountable and beneficial to future generations.
