As the submission date approaches for the report from the inter-ministerial committee on Local Government Areas (LGAs) autonomy, state governors in Nigeria are intensifying efforts to delay the enforcement of the Supreme Court ruling. This committee, led by Secretary to the Government of the Federation, George Akume, is expected to finalize its report by October 13.
In 2019, the Nigerian Financial Intelligence Unit (NFIU) established a regulation prohibiting transactions on joint accounts of state and local governments, mandating that funds be sent directly to local governments. This regulation also limited cash withdrawals from local government accounts to a maximum of ₦500,000 per day, with penalties for non-compliance. However, state governors, under the Nigerian Governors’ Forum, opposed this regulation, leading to its eventual revision.
In May 2024, the Federal Government filed a lawsuit aimed at curbing governors’ authority to receive and withhold federal allocations meant for local governments, seeking to prevent the unilateral dissolution of elected councils. The Supreme Court ruled on July 11 that governors cannot control local government funds and directed the Accountant-General of the Federation to ensure direct payments to local government accounts.
Following the ruling, the Federal Government formed a committee to facilitate the implementation of local government autonomy. This panel comprises several high-ranking officials, including the Minister of Finance, Attorney General, and representatives from local governments and state governors.
In a recent address marking Nigeria’s Independence Day, President Bola Tinubu pledged to uphold the financial autonomy of local governments, stating, “We are resolute in our determination to implement the Supreme Court judgment on the financial autonomy of local governments.” However, sources within the Presidency revealed that governors are pressuring officials to soften the enforcement of the Supreme Court ruling.
Hakeem Ambali, President of the National Union of Local Government Employees, confirmed that the committee is expected to submit its report by October 11 and expressed confidence in the President’s commitment to the issue.
Civil society organizations, including the Centre for Accountability and Open Leadership and the United Global Resolve for Peace, are urging the Federal Government to expedite the implementation of local government autonomy. They criticize governors for attempting to undermine the Supreme Court’s ruling, emphasizing the importance of adhering to the rule of law.
Debo Adeniran, chairman of the Centre for Accountability and Open Leadership, condemned the governors’ efforts, stating that their actions are self-serving and detrimental to local governance. Olaseni Shalom, Executive Director of the United Global Resolve for Peace, called for a bill in the National Assembly to eliminate ambiguity around local government autonomy and support fiscal independence.
The Coalition of United Political Parties has also urged immediate action from the Federal Government, emphasizing the urgency of implementing the Supreme Court ruling to ensure financial accountability at the local government level. They argue that any delay in enforcement undermines the integrity of the legal system and hinders local governance effectiveness.
Overall, the impending submission of the inter-ministerial committee’s report has heightened tensions between state governors and the Federal Government, raising concerns about the future of local government autonomy in Nigeria.
