Lagos State’s economy has surged to $259 billion in Gross Domestic Product (GDP) based on purchasing power parity (PPP), making it the second-largest city economy in Africa after Cairo.
The milestone was announced during the launch of the Lagos Economic Development Update (LEDU) 2025. The report highlighted Lagos’ steady growth, with GDP rising from N19.65 trillion in 2023 to N27.38 trillion in the first half of 2024.
Despite this, the state’s tax-to-GDP ratio remains low at 2.3%, underscoring the need for improved revenue generation. Projections for 2025 indicate further expansion, with GDP expected to reach N66.47 trillion and real growth between 5.02% and 6.49%.
The Lagos government remains focused on infrastructure, technology, real estate, and manufacturing to sustain economic momentum.
