The Federal Government of Nigeria is proceeding to implement the Supreme Court’s judgment on local government autonomy. On Monday, an inter-ministerial committee set up to enforce the verdict began a two-day meeting in Abuja.
The apex court affirmed the financial and political independence of local governments on July 11, 2024, prohibiting state interference.
The committee, chaired by Senator George Akume (Secretary to the government) will discuss and finalize the modalities for executing the Supreme Court’s judgment. The judgment mandates direct disbursements of funds from the Federation Account Allocation Committee (FAAC) to the 774 local government areas.
The committee members include Minister of Finance Wale Edun, Attorney-General of the Federation Lateef Fagbemi, and Minister of Budget and Economic Planning Atiku Bagudu. Others include the Accountant-General of the Federation, Governor of the Central Bank of Nigeria (CBN) Yemi Cardoso, and representatives of the Nigeria Governors’ Forum (NGF) and local governments.
The committee’s task is to overcome governors’ resistance and achieve financial and administrative independence for the councils, many of which appear to be micromanaged by the state executives.
The committee will also develop countermeasures against governors who attempt to undermine autonomy.
The two-day meeting aims to evaluate the committee’s progress and finalize operational frameworks for direct payments to the LGAs. It will also address governors’ attempts to convince elected local government leaders to truncate autonomy objectives.
Governors Undermining LGA Autonomy?
Despite the Supreme Court’s ruling, some governors allegedly want to control council funds. LGAs share about 20% of the federation account – a substantial sum.
The governors are allegedly influencing the Houses of Assembly to pass laws empowering state governments to access and retain oversight on FAAC allocations.
Nevertheless, the Accountant-General of the Federation is believed to be ready to start disbursing funds to democratically elected councils this week.
An official of the Office of the Accountant-General of the Federation (OAGF) confirmed the office’s readiness to commence direct FAAC disbursements to councils, saying, “It won’t be a challenge to carry out the approval from the minister to start making the disbursements to the LGAs. The structure has been on the ground.“
The official assured that a dedicated department within the OAGF would oversee the processes, ensuring a smooth transition.
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