Lagos tops 2025 state performance index, leads national ranking

Lagos State has emerged as Nigeria’s best-performing sub-national government in the 2025 State Performance Index (pSPI), ranking first among the 36 states and the Federal Capital Territory (FCT) in the latest assessment released by Phillips Consulting Limited (pcl.), a leading business and management consulting firm. According to the National Assessment Report, Lagos secured the top […]

Lagos State has emerged as Nigeria’s best-performing sub-national government in the 2025 State Performance Index (pSPI), ranking first among the 36 states and the Federal Capital Territory (FCT) in the latest assessment released by Phillips Consulting Limited (pcl.), a leading business and management consulting firm.

According to the National Assessment Report, Lagos secured the top position in the Overall pSPI Ranking, outperforming all other states across key governance, economic and development indicators.

The report identified Lagos as the country’s leading revenue-generating state, ranking first in Internally Generated Revenue (IGR) per capita, IGR per square kilometre and IGR per trade route. Lagos also ranked second nationally in internet penetration and digital access, underscoring its growing digital economy and technology ecosystem.

Phillips Consulting noted that Lagos demonstrated a high degree of financial independence, with approximately 69 per cent of its total revenue generated internally, compared to the national average of 18 per cent.

“Lagos ranks first in IGR per capita, per km² and per trade route,” the report stated, adding that the state’s strong internally generated revenue profile significantly reduces its reliance on federal allocations.

The consulting firm described the pSPI as a comprehensive tool for measuring governance effectiveness and identifying areas requiring policy intervention.

“The 2025 edition of the pcl. State Performance Index builds on the 2024 report with a sharper, more data-driven approach. It expands performance indicators and reduces focus from perception to measurable outcomes, ensuring states are rated based on real progress, effort and impact,” the report stated.

Highlighting Lagos’ economic significance, the report described the state as Nigeria’s economic powerhouse, noting that its gross domestic product exceeds that of several African countries.

“Lagos is the economic backbone of Nigeria, and the data confirms it. With a GDP larger than several African countries, Lagos’ economy thrives on a powerful mix of commerce, finance, technology and international trade,” the report said.

It further noted that Lagos’ strategic seaport access, vibrant informal economy and dominance in financial services have strengthened its position as Nigeria’s undisputed economic leader.

In the overall ranking, Lagos was followed by Ogun State in second position and Kaduna State in third place. Adamawa and Niger States completed the top five, while Nasarawa, Gombe, Jigawa, Plateau and Abia occupied the sixth to tenth positions respectively.

Reacting to the report, Governor Babajide Sanwo-Olu said the recognition validates the impact of his administration’s policies and programmes.

“It gladdens our hearts that our administration’s modest achievements are having direct, positive and measurable impacts on the people of Lagos,” he said.

Sanwo-Olu noted that the ranking aligns with several recent national and international assessments that have placed Lagos ahead of other states in areas such as business environment, technology and tourism.

According to him, the recognition serves as motivation for the government to deepen reforms and accelerate development initiatives across the state.

“What the latest ranking has done is for us to get back to work and do it a lot better and smarter,” the governor said.

He cited recent recognitions that have placed Lagos among Africa’s leading destinations for nightlife, technology innovation and ease of doing business, describing them as evidence of the state’s growing global relevance.

“We have a mission to deliver a greater Lagos before the end of our tenure and we won’t rest until the last day of this government, working for the people of the state,” Sanwo-Olu added.