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    Home » FT Africa Summit: Why Lagos Is Pushing Development To Ogun, By Sanwo-Olu
    7 Mins ReadOctober 23, 2026

    FT Africa Summit: Why Lagos Is Pushing Development To Ogun, By Sanwo-Olu

    By Amina MohammedOctober 23, 2026No Comments7 Mins Read
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    The Lagos State governor, Baba­jide Sanwo-Olu, has explained why his administration is push­ing infrastructural development into neighbouring Ogun State, cit­ing the rising cost of land develop­ment, the coastal terrain of Lagos and increasing urbanisation.

    Sanwo-Olu said the Lagos State government was working with Ogun State to establish joint cities and development zones around border communities to accommodate the growing popu­lation and ease pressure on hous­ing and infrastructure in Lagos.

    The governor spoke on Thurs­day during the Financial Times Africa Summit in London, where he addressed the rising cost of liv­ing in Lagos. He participated in the discussion virtually.

    According to him, Lagos fac­es geographical limitations that make construction more expen­sive, forcing developers to explore neighbouring Ogun State, where the terrain is more suitable for large-scale development.

    “Secondly, in terms of hous­ing, the geography or the terrain of Lagos is not like any other part of the city. We are in the coastal region where to do two, three lev­els of development, you need to be able to have some level of piling.

    “The cost to even go on the ground before you come out to the surface, we are below the sea level. So, it just increases our cost. That is why you see that de­velopment is moving more into our neighbouring state, which is Ogun State, and we don’t have any apology for that because we don’t have any other neighbour other than Ogun State,” he said.

    The governor said the state was deliberately encouraging development in Ogun State be­cause its land was more stable, allowing developers to undertake more construction at a relatively lower cost.

    He added that the Lagos and Ogun state governments were collaborating to develop border communities and provide infra­structure and essential services for residents who live in Ogun State but travel to Lagos for work.

    “We are creating a lot of joint cities or joint development zones all around the border towns. We are actually the ones pushing a lot of infrastructural developments into that region in terms of police, traffic management, response of emergencies and so on,” San­wo-Olu said.

    He added that the Lagos gov­ernment was extending support to these areas to ensure that peo­ple living there could commute to Lagos to earn a living.

    “We take care of everything so that when people even go to live there, they can still find a journey back to Lagos to come and work and earn a living,” he said.

    On the rising cost of living, Sanwo-Olu said the state had taken steps to ease transporta­tion costs through an integrated public transportation system that allows residents to travel by road, rail and waterways.

    He disclosed that more than 5.2 million Lagos residents were using the cowry card, a unified payment system for public trans­portation.

    The governor said the struc­tured transportation system also served as a form of subsidy, helping to prevent the full impact of rising fuel prices from being passed on to commuters.

    “It is true that it has gone up but part of the things that we have done to reduce that is that the structured transportation system is like a subsidy that the government also ensures that we pass to them so that they don’t pass the entire cost to the passen­gers,” he said.

    On calls for more affordable housing, Sanwo-Olu argued that the high cost of building materi­als remained a major challenge, noting that cement and iron rods were expensive regardless of the category of housing being con­structed.

    “There is really nothing afford­able because there is no affordable cement or affordable iron rod. It is the same cost of iron rod. There is no one iron rod that we said it has to be cheaper for some set of people or some cement that will be cheaper for other set of peo­ple,” he said.

    He said the government needed to find ways to deliver housing at scale while reducing bottlenecks in accessing the re­sources and materials required for construction.

    Sanwo-Olu identified rapid urbanisation as another major challenge, explaining that the continuous influx of people into Lagos was putting additional pressure on housing and public infrastructure.

    He said Lagos could not pre­vent Nigerians from other parts of the country from moving into the state, making sustained in­vestment in infrastructure and housing necessary.

    “What Lagos needs to do is to continue to build. We cannot move into the Atlantic Ocean, we can only move north, which is Ogun State, and we are working with Ogun State,” he said.

    On insecurity, the governor attributed the harassment of tourists and residents by street hoodlums in the state partly to the display of wealth on social media.

    A participant at the summit had asked how the state govern­ment intended to address the problem, noting that the activi­ties of street criminals could un­dermine Lagos’ reputation as a major tourist destination.

    Responding, Sanwo-Olu said some social media influencers and other individuals who pub­licly flaunt large sums of money could attract unwanted attention from people who believe they are entitled to a share of their wealth.

    “What has happened is that a lot of people are using social me­dia to express wealth, to showcase how much money they suddenly all gotten,” he said.

    “You go to some influencers page and people are unreasonably and shamelessly displaying cash as a way of telling their followers that they have arrived.”

    According to Sanwo-Olu, such display could encourage some people to target those individuals on the streets.

    “When these set of people now get accosted on the streets, it is to say that ‘we saw you yesterday posting that you have N10m cash, give us out of it’,” he said.

    While stressing that nobody should be harassed for displaying their wealth, the governor urged people to exercise restraint in showcasing their financial sta­tus online.

    “Whilst I am not going to speak that anybody should be harassed for displaying his or her wealth, I think we also can have a lot of restraint,” he said.

    He argued that the public dis­play of wealth could expose indi­viduals and their families to pres­sure from people who question how they acquired their money.

    Sanwo-Olu, however, identi­fied removing vulnerable and criminally inclined individuals from the streets, providing vo­cational training and strength­ening social support systems as part of the government’s broader response.

    He said the state government had been taking people off the streets and providing them with opportunities to acquire skills, but noted that some returned to Lagos from other parts of the country.

    The governor disclosed that the government was working towards establishing a Lagos Resident Identity system to help identify residents, their locations and their occupations.

    According to him, the pro­posed system would enable the government to gather data on residents’ needs and determine the skills, trades and other forms of support that could help them become economically productive.

    “With that we can use data to ask you what you require of gov­ernment. What kind of skills do you want to learn? What kind of trade can we support you with?” he said.

    He added that the government needed to distinguish between people engaging in street activ­ities because of unemployment and those involved in criminal conduct.

    “Because quite frankly, there are people that we need to take off the streets. If you are criminally inclined, it is for government to do the right thing by taking you off the streets and be able to deal with it,” he said.

    Sanwo-Olu also announced that the state was building what he described as the largest men­tal health facility, saying it would provide support for people who require mental health care and help address challenges associ­ated with vulnerable individuals living on the streets.

    “For the ones that are crimi­nal, let’s also be able to deal with it. It is a hydra-headed solution,” he said.

    The governor maintained that tackling street harassment required a combination of in­terventions, including skills ac­quisition, social support, mental health services and action against criminal activities.

    Author

    • Amina Mohammed
      Amina Mohammed

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    Babajide Olusola Sanwo-Olu Financial Times
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