The Association of Local Governments of Nigeria (ALGON) has praised the federal government’s efforts in implementing the Supreme Court’s judgment that granted financial autonomy to local governments across the country. The commendation was given during a meeting held in Abuja over the weekend, where ALGON officials reviewed the progress made so far and discussed further steps to ensure the successful implementation of the autonomy.
Speaking during the meeting, Odunayo Ategbero, Chairman of ALGON’s Board of Trustees, acknowledged the significant strides made by the federal government’s implementation committee, despite facing several challenges. “The federal government’s implementation committee has made significant strides despite encountering challenges,” Ategbero said. “The successful implementation of this autonomy will pave the way for a more efficient and independent local government system.”
The Supreme Court’s ruling in favor of local government financial autonomy is a landmark decision aimed at strengthening the third tier of government in Nigeria. Financial autonomy will allow local governments to control their own funds and make independent decisions regarding budgeting and expenditure, without undue interference from state governments.
According to ALGON, the move to grant local governments financial autonomy will address several pressing issues at the grassroots level, including security, health, education, and infrastructural development. Ategbero emphasized the importance of empowering local governments to directly address the needs of over 80 percent of Nigerians who reside in rural and suburban areas.
“With over 80 percent of Nigerians residing in local government areas, it is important to empower the third tier of government to rapidly drive social, political, economic, and infrastructural development at the grassroots,” Ategbero explained. “This includes tackling developmental challenges such as security, healthcare, education, and more, to improve the living standards of citizens.”
Local governments play a key role in providing essential services and driving development in communities. However, the lack of financial autonomy has often left them dependent on state governments for funding, which has hindered their ability to meet the needs of their communities effectively. The granting of financial autonomy is expected to provide local governments with the necessary resources to function more independently and efficiently.
As part of the ongoing efforts to implement the autonomy, ALGON reminded local government councils across the country to open accounts with the Central Bank of Nigeria (CBN) for seamless financial operations. This step is crucial for ensuring transparency and accountability in the management of local government funds.
The implementation committee overseeing the process has been working closely with local governments to ensure they comply with this directive. The move to open CBN accounts is part of a broader strategy to streamline the financial operations of local governments, making it easier for them to manage funds, plan budgets, and execute development projects.
Ategbero highlighted that the autonomy would enable local governments to take charge of their finances and address critical issues more effectively. “It is a significant step towards ensuring that local governments have the financial independence they need to carry out their responsibilities,” he said.
One of the major benefits of financial autonomy for local governments is the potential to strengthen democracy at the grassroots level. According to ALGON, the autonomy will lead to more credible and transparent local elections, as it will reduce the influence of state governors over local government officials.
In the past, local government elections were often criticized for being manipulated, with political parties handing out tickets to favored candidates rather than allowing a true democratic process to take place. With financial autonomy, local governments will be in a better position to conduct independent elections and ensure that leadership at the local level is based on the will of the people, rather than political interference from state governments.
“The autonomy will restore democracy at the local government level, compelling state governors to conduct genuine elections, which is a departure from the past where tickets were handed out to favored candidates,” Ategbero stated. This shift is seen as a positive step towards reinforcing the democratic process and ensuring that elected officials at the local level are truly accountable to their communities.
Ibrahim Dasuki Jalo, a former National President of ALGON, also spoke at the meeting, stressing the importance of collaboration between state and federal governments to ensure the success of local government autonomy. Jalo emphasized that the association would work closely with both state governments and the federal government to maximize the benefits of the financial autonomy granted to local governments.
“We are committed to partnering with states and the federal government to achieve maximum results from this autonomy,” Jalo said. “It is crucial that all levels of government work together to ensure that the objectives of this reform are fully realized and that the people at the grassroots level benefit from the improved governance that will come with it.”
The partnership between ALGON, state governments, and the federal government is seen as essential for addressing the challenges that may arise during the implementation process. While progress has been made, there are still concerns regarding the smooth execution of the policy, particularly in states where there may be resistance to the idea of financial autonomy for local governments.
Despite the positive developments, the implementation of financial autonomy for local governments has not been without its challenges. The biggest obstacle has been the reluctance of some state governors to relinquish control over local government funds. In many states, local governments have been financially dependent on state governments, and there are concerns that the loss of this control could undermine the power and influence of state governors.
Additionally, the process of ensuring that all local governments comply with the Supreme Court’s judgment and open accounts with the Central Bank of Nigeria has been slow in some regions. However, ALGON remains optimistic that with continued efforts and collaboration, these challenges can be overcome, and local governments will be able to fully benefit from their newfound financial autonomy.
