The Lagos State House of Assembly on Tuesday received two requests from the state government seeking legislative approval for a proposed ₦200 billion bond issuance and a Federation Account Allocation Committee (FAAC)-backed initiative to finance infrastructure.

The requests were contained in separate letters from the Commissioner for Finance, Abayomi Oluyomi, and read during plenary by the clerk of the House, Adenike Oshinowo, before lawmakers.

Speaker Mudashiru Obasa referred both requests to the Joint Committee on Economic Planning and Budget and the Committee on Finance for detailed scrutiny, directing the panels to submit their report on Thursday. 

Mr Oluyomi said one request sought legislative approval for Lagos State’s participation in the FAAC Receivables Discounting Programme under the Lagos State Infrastructure Finance Fund to support infrastructure development.

Mr Oluyomi said the programme would provide immediate liquidity by leveraging future FAAC allocations, enabling Lagos to access about $17 million in third-party funding for critical infrastructure and capital projects. 

“The state’s participation required a formal resolution of the assembly. 

“The approval would facilitate implementation of key infrastructure initiatives aimed at accelerating development across the state,” he said. 

In a separate request, the commissioner sought legislative approval for the state’s proposed ₦200 billion Series V bond under its ₦1 trillion Debt and Hybrid Instruments Issuance Programme. 

According to him, the proposed bond would finance priority projects, including the New Massey Children’s Hospital, Lagos Island General Hospital, Lagos Rail Mass Transit Line, Omu Creek Bridge and other strategic infrastructure projects across the state. 

Mr Oluyomi urged lawmakers to approve the resolutions to enable the government to access the capital market, assuring the assembly of “prudent financial management and sustainable infrastructure development” in executing the proposed projects.

(NAN)