The Lagos State Government has approved a 13 per cent increase in fares across all services under the Bus Reform Initiative, covering the Bus Rapid Transit system and standard bus routes across the state.
Governor Babajide Sanwo-Olu granted the approval following an appeal from regulated public transport operators, who raised concerns about rising operational costs and the sustainability of their services amid current economic conditions.
In a statement issued by LAMATA’s Head of Corporate Communication, Kolawole Ojelabi, the new fare structure will take effect from Monday, March 2, 2026.
“The adjustment is designed to help offset the severe impact of ongoing economic pressures on public transport providers. It also aligns with the state’s previously established annual fare review mechanism. The urgency of the measure is driven by persistent inflationary trends.
“Data from the National Bureau of Statistics shows Nigeria’s headline inflation rate stood at 15.15 percent in December 2025, with only slight moderation to around 15.1 percent in January 2026, levels that continue to exert heavy strain on operating costs,” the statement noted.
Bus operating companies have faced sharply rising expenses in critical areas such as vehicle maintenance and repairs, imported spare parts, and staff salaries, particularly after the implementation of the new national minimum wage.
Operators are also investing heavily in fleet renewal by acquiring newer, cleaner, and more fuel-efficient buses to improve passenger comfort, maintain service standards, and support environmental sustainability goals in Lagos.
The state government said the decision was made to balance affordability for commuters with the financial realities required to keep the public transport system running efficiently.
