Lagos State Government has said it has so far achieved an average monthly Internally Generated Revenue (IGR) of N34 billion in 2018, compared to monthly averages of the last three years.
Commissioner for Finance, Mr. Akinyemi Ashade, who disclosed this, yesterday, at the ongoing annual ministerial press briefing, to mark the third anniversary of Governor Akinwunmi Ambode’s administration, held at Bagauda Kaltho Press Centre, in Alausa, attributed the gradual improvement to the impact of the ongoing reforms and growth in the state’s economy.
He said: “Based on our first quarter results, Lagos state has, so far, achieved an average monthly IGR of N34 billion in 2018, compared to monthly averages of N22 billion, N24 billion and N30 billion, in 2015, 2016 and 2017, respectively.”
The commissioner expressed optimism that the IGR will continue to rise as the state continues to implement the various reforms, driven by wider technology adoption and innovation, adding that the target to grow the IGR to N50 billion by next year is well on course.
“The target we set for ourselves is N50 billion, but, we all know the kind of push backs we have experienced, including people going to court. Our commitment is not for now, its for the future of Lagos. We know it is a marathon; we would win some and lose some, but, we are very committed towards ensuring that we meet the target. If we don’t meet it this year, definitely, there would be another year; but, we believe we will succeed in the target we set for ourselves,” Ashade said.
On federal transfers, he said since Lagos joined the league of oil producing states, the government has received N327 million revenue, comprising N197 million and N130 million received in 2017, and first quarter of 2018, respectively.
“Furthermore, we are have ongoing discussions with the Federal Government towards obtaining a refund for expenditure totalling N51 billion, which was incurred by the state government on behalf of the federal government for infrastructure development projects in the state. We are optimistic of successful discussions which will result in the approval and payment of the amount owed the state government by the federal government,” he said.
Giving an update on the state’s debt profile, Ashade said the government’s debt stock, comprising 48 percent local debt and 52 percent foreign debt currently stands at N874.38 billion as at the end of 2017, while the debt service charge to total revenue ratio, stands at 17.61 percent, which he said is still within the World Bank threshold of 30 percent.