Reports have shown that despite the Supreme court’s ruling in July 2024 granting full financial autonomy to Nigeria’s 774 local government areas, allocations were still paid to state government accounts.
According to a report from The Punch, the Federation Accounts Allocation Committee disbursed a total of N2.08tn in allocations to Local Government Councils between July and December 2024.
However, those monies still went to state government accounts which has irked officials and members of the Association of the Local Governments of Nigeria and National Union of Local Government Employees.
The landmark Supreme Court ruling directed that funds meant for LGs should be paid directly into their accounts, bypassing state governments, in an effort to promote autonomy and ensure that the funds allocated to local governments were properly utilised.
Nearly six months after the judgment, the Federal Government had not effected direct payment of allocations to the local governments, as directed by the apex court.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said the Federal Government was yet to commence direct payment to the respective LGs due to some “practical impediments” according to the Punch.
He added that a committee had been set up by the Federal Government to look at the practicability of the judgment.
Aside from the Local government allocation, the approved minimum wage is yet to be fully implemented in states, and corp members have not received the promised N77,000 increased allowance.
As Committees has been set up to investigate the practicability of the judgment, it is still uncertain when the apex court’s ruling would be implemented.
