Lagos, Rivers, Enugu lead as Nigeria’s IGR to N5.15 trillion in 2025
Nigeria’s subnational governments generated a combined N5.15 trillion in Internally Generated Revenue (IGR) in 2025, representing a 40.93% increase from the N3.65 trillion recorded in 2024. The post Lagos, Rivers, Enugu lead as Nigeria’s IGR to N5.15 trillion in 2025 appeared first on Nairametrics .
In 2025, Nigeria's subnational governments generated a combined N5.15 trillion in Internally Generated Revenue (IGR), indicating a significant 40.93% increase compared to the N3.65 trillion recorded in 2024. This growth was primarily fueled by Lagos State, which emerged as the largest revenue-generating subnational economy, accruing N1.77 trillion in IGR.
Together, the top three jurisdictions - Lagos, Rivers, and Enugu - generated approximately N2.60 trillion, accounting for roughly 50.6% of the national total, while the 22 lower-ranked states generated N909.35 billion in IGR. The data revealed a notable shift in the composition of revenue sources, with Ministries, Departments, and Agencies (MDAs) contributing significantly to the national IGR.
Payroll taxation, or Paye, continued to be the dominant source of internally generated revenue across most states, underscoring the importance of formal employment in state finances. Akwa Ibom emerged as the 10th largest revenue generator, with an impressive 33.04% increase in IGR from N75.77 billion in 2024 to N100.80 billion in 2025.
The state's growth was primarily driven by oil and gas-related economic activities, robust PAYE collections, and expanding commercial activity. Kano, despite retaining its position as the largest revenue generator in Northern Nigeria, recorded a 36.76% increase in IGR from N74.77 billion in 2024 to N102.26 billion in 2025. The state's revenue was bolstered by its commercial hub status, a thriving wholesale and distribution market, robust manufacturing and agro-processing sectors, and extensive trade networks.
Oyo State witnessed a remarkable 58.14% increase in IGR, moving from the 14th position in 2024 to the 8th position in 2025, driven by the expanding urban footprint of Ibadan and increased activity in the retail, education, and technology sectors. Delta State secured the sixth position in the IGR rankings, with a 28.33% increase in revenue from N157.79 billion in 2024 to N202.49 billion in 2025.
The state's growth was attributed to its oil and gas economy, a sizeable salaried workforce, and expanding business activity in key commercial centers.
Written by urgent.news from Nairametrics's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
