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By Doris Obinna
The Lagos State Government has unveiled an ambitious healthcare reform agenda centred on mandatory health insurance, expanded healthcare infrastructure, workforce development and stronger public-private partnerships as part of efforts to bridge an estimated N100 billion funding gap in the sector.
Speaking on Tuesday at Alausa-Ikeja during the Y2026 Ministerial Press Briefing, which formed part of activities marking the seventh anniversary of the Sanwo-Olu administration, the Lagos State Commissioner for Health, Prof. Akin Abayomi, said the administration of Governor Babajide Sanwo-Olu was intensifying efforts to expand health insurance coverage and reposition Lagos as one of Africa’s leading healthcare destinations.
Abayomi said Lagos currently spends about eight per cent of its annual budget on healthcare, far below the 15 per cent benchmark recommended under the Abuja Declaration, stressing that the growing healthcare demands of the state had made alternative financing mechanisms inevitable.
According to him, there remains a significant disparity between existing health sector funding and the resources required to adequately serve the state’s rapidly expanding population. “There is a gap between what is available to us through our budget and what we ideally want to spend. The blue bar is our current budget while the red bar is our wish budget, and there is a gap of at least N100 billion between what we get and what we want.”
The commissioner explained that dwindling donor support and increasing healthcare pressures in a mega city such as Lagos had compelled the government to focus on mandatory health insurance and deeper collaboration with the private sector as sustainable solutions. “The answer for us really is two things: health insurance and public-private partnership. This is where we are focused at the moment in Lagos State,” he added.
Abayomi disclosed that Sanwo-Olu had already domesticated the National Health Insurance Authority (NHIA) Act through an Executive Order (EO) signed on July 16, 2024, thereby making health insurance compulsory for all Lagos residents. He added that ministries, departments and agencies had commenced enforcement measures requiring residents seeking government services to provide evidence of accredited health insurance enrolment.
According to him, the initiative is expected to significantly boost enrolment under the Lagos State Health Management Agency’s Ilera-Eko health insurance scheme and create a sustainable financing pool capable of strengthening healthcare facilities, improving infrastructure and supporting vulnerable residents through equity-based funding mechanisms. “Health insurance is the umbrella by which the healthy look after the sick and the rich look after the poor. It is a solidarity phenomenon.”
The commissioner revealed that more than 1.46 million residents had already enrolled under the Ilera-Eko scheme but admitted that Lagos still had a long way to go in attaining universal health coverage.
He lamented that nearly 77 per cent of healthcare spending in Nigeria was still financed directly from citizens’ pockets, while only two per cent came through insurance coverage, describing the situation as unsustainable and abnormal.
Speaking on the state’s long-term healthcare vision, Abayomi said the Lagos 2052 Development Plan was designed to transform the state into a model mega city and place it among the top three healthcare destinations in Africa within the next decade.
He explained that the plan prioritises universal health coverage, reduction of maternal mortality, improved child nutrition, strengthened primary healthcare services and reversal of outbound medical tourism. “We do not want Lagosians travelling abroad to seek healthcare in Dubai, London, India or South Africa. We want to provide every specialty and subspecialty needed right here in Lagos.”
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Abayomi also stressed the need to regulate and integrate the informal healthcare sector, including community pharmacies, patent medicine vendors and traditional medicine practitioners, into the broader healthcare system. “Healthcare delivery in Lagos extends far beyond government hospitals, with over 3,500 registered private health facilities currently operating across the state alongside numerous informal providers serving as first points of care for residents.”
The commissioner further disclosed that a strategic retreat was held involving the Ministry of Health, the Primary Health Care Board and local government chairmen to develop a performance-based compact aimed at improving coordination across all tiers of healthcare delivery.
On the challenge of manpower shortage and migration of healthcare professionals, Abayomi acknowledged the global competition for skilled medical workers but maintained that Lagos was implementing measures to reverse the trend through improved welfare packages and expanded training opportunities.
He announced that approval had been granted for the establishment of a standalone University of Medicine and Health Sciences in Lagos State to increase the production of doctors, nurses, pharmacists and other healthcare professionals.
According to him, the proposed institution would decentralise clinical training across primary, secondary and private healthcare facilities while leveraging diaspora specialists and experienced professionals already within the Lagos health system.
In her remarks, the Special Adviser to the Governor on Health, Dr Kemi Ogunyemi, underscored the role of the Health Facility Monitoring and Accreditation Agency (HEFAMAA) in ensuring patient safety and maintaining healthcare standards.
She noted that Lagos remained the first state to establish a dedicated agency solely responsible for healthcare facility regulation and patient safety, adding that other states and the Federal Government were now studying the model.
Ogunyemi said the rapid increase in the number of hospitals, cosmetic medical spas and healthcare facilities across Lagos had stretched the agency’s operational capacity, making collaboration with franchise organisations and trained professionals necessary to support monitoring and accreditation activities.
“If you do not see the HEFAMAA accreditation sign in a facility, please do not use that facility. If you see something concerning poor and substandard practice, say something. We rely on the public to help us ensure patient safety,” she said.
Earlier, the Permanent Secretary, Ministry of Information and Strategy, Mr Olanrewanju Bajulaiye, commended the progress recorded in healthcare delivery in Lagos, particularly in emergency response services, infrastructure expansion and strengthening of primary healthcare.
In his closing remarks, the Permanent Secretary, Lagos State Ministry of Health, Dayo Lajide, appreciated Governor Sanwo-Olu for sustained investment and support for the health sector.
Lajide also praised healthcare workers across primary, secondary and tertiary facilities for their resilience, sacrifices and commitment to quality healthcare delivery despite increasing pressure on the state’s health system.
