Local government authorities have renewed their call for financial autonomy, insisting on direct access to federal allocations. This comes as records show states received a total of N7.43 trillion from the Federation Account between January and October 2024.
The LGs argue that state governments have continued to hijack their funds, undermining grassroots development. They said without direct funding, local councils cannot function effectively or deliver basic services to citizens.
According to data from the Nigeria Governors’ Forum, most state governments receive allocations on behalf of local governments, but often fail to remit full amounts. This practice has sparked widespread criticism and legal action. Several LG chairmen say the situation leaves them powerless.
The federal government has also expressed concern over the misuse of local government funds. President Bola Tinubu, at a recent event, urged state governors to comply with the Supreme Court ruling on local government autonomy. He emphasized that local councils must receive their allocations directly to function independently.
The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) reported that the N7.43tn disbursed to states included allocations meant for LGs. The commission called for stricter monitoring to ensure transparency and accountability.
In response, state governors argue they use joint accounts to ensure proper oversight. However, critics insist the system promotes corruption and hinders development at the grassroots.
Local government leaders are now pushing for constitutional reforms that guarantee full autonomy and direct funding, saying it’s key to boosting rural infrastructure, education, and healthcare delivery.
