LG Autonomy: Supreme Court Judgment Advances Struggle for Public Accountability

In a landmark ruling on July 11, 2024, the Nigerian Supreme Court granted full financial autonomy to the country’s 774 local government areas (LGAs), ensuring that funds allocated from both the Federation Account (FAAC) and state government purses are directly disbursed to the local councils. This ruling, which originated from a suit filed by the Attorney General of the Federation, Lateef Fagbemi, against all 36 state governors, addresses the long-standing issue of state governments withholding or misappropriating funds meant for local development【6†source】【7†source】. *Constitutional Provisions and Their Neglect* Section 7 and Sub-Section 6 of the Nigerian Constitution mandates the state house of assembly to create laws that facilitate the allocation of funds from the state government to local governments. In addition to receiving allocations from the federal government through FAAC, local governments are also entitled to funds from state governments for development purposes. Furthermore, the constitution requires the formation of economic planning boards in each state, comprising both state and local government officials. These boards are intended to enable local governments to participate in economic planning and development initiatives. However, these constitutional provisions have often been ignored by state governors, leading to the diversion of funds meant for local governments【6†source】【7†source】. ### Supreme Court Ruling and Its Implications The Supreme Court's judgement, delivered by Justice Emmanuel Agim, categorically declared it unconstitutional for state governors to manage or withhold funds meant for local councils. The court ruled that all allocations from the FAAC and the state government intended for local governments must be directly disbursed to them. This decision prohibits the appointment of caretaker committees by governors, emphasizing that only democratically elected local government officials should manage these funds. This ruling is seen as a critical step toward enhancing grassroots development and ensuring public accountability【6†source】【7†source】. ### Insights from Femi Falana Senior Advocate of Nigeria, Femi Falana, commended the ruling during an interview on Channels Television, highlighting its potential to significantly transform local governance. Falana noted that the judgement ensures transparency and accountability, empowering local governments to address essential community needs such as infrastructure, education, and employment. He stressed the importance of state economic councils that include local government participation, as stipulated in the constitution, to foster comprehensive economic planning and development【6†source】【7†source】. ### A Victory for Local Development This Supreme Court judgement marks a significant victory for local government autonomy in Nigeria. By ensuring that local councils have direct access to funds from both the FAAC and state governments, the ruling aims to eliminate the misappropriation of resources by state governments and promote real grassroots development. The decision underscores the necessity of adhering to constitutional provisions designed to achieve balanced and inclusive economic growth across all levels of government【6†source】【7†source】. --- #LocalGovernment #Autonomy #Nigeria #SupremeCourt #PublicAccountability #GrassrootsDevelopment 🌍💼✨