The Presidency has announced that Local Government areas across Nigeria will begin receiving their allocations directly from the Federal Allocation Account Committee (FAAC) by the end of January 2025.
The Special Adviser to the President on Media and Public Communications, Sunday Dare, disclosed this during an interview with newsmen on Thursday night.
He reaffirmed President Bola Tinubu’s commitment to implementing the Supreme Court’s landmark July 2024 judgment, which declared state control over local government funds unconstitutional.
In a unanimous decision delivered by Justice Emmanuel Agbim, the Supreme Court ruled that allocations to local governments should either be paid directly or through states.
However, the court mandated direct payments to local councils due to the ineffectiveness of the latter arrangement.
The judgment followed a suit filed by the Attorney General of the Federation, Lateef Fagbemi (SAN), advocating for financial autonomy for Nigeria’s 774 local government areas.
Despite the ruling, its implementation was delayed to ensure proper mechanisms were put in place. Sunday Dare confirmed that these arrangements are now complete, paving the way for local governments to begin receiving funds directly.
“We have a President who ensures local government autonomy. I spoke to a local government chairman who said, ‘Oh, I will be getting N2.9 billion instead of the N200 million I was getting before.’
“From the end of this month, local governments will receive the money directly,” Dare explained.
He also called for increased scrutiny of financial management at the state and local government levels.
“One state collected N499 billion last year, nearly four times its previous allocation, yet there’s little to show for it,” he noted.
Dare emphasized the need for accountability across all tiers of government.
“The framers of our constitution created the three tiers of government for a reason. It’s time to hold states and local governments accountable,” he added.
