In a landmark ruling, the Supreme Court of Nigeria has directed the Federal Government and State Governments to pay allocations directly to Local Government Councils. This decision comes as a significant step towards granting financial autonomy to local governments, ensuring they receive their due allocations without interference from state authorities.
The case, Attorney General of the Federation vs. Attorney General of the 36 States, was presided over by Justice Muhammed Lawal Garba, JSC, with Justice Emmanuel Agim, JSC, reading the lead judgement. The court’s decision addresses long-standing issues of financial mismanagement and delays caused by the intermediary role of state governments in disbursing funds meant for local councils.
Justice Agim emphasized the importance of direct payments to Local Government Councils, citing that the previous system, where funds were routed through state governments, has failed to deliver the intended developmental impact at the grassroots level. The court’s ruling is expected to enhance transparency and accountability in the utilization of public funds allocated for local development projects.
“The Apex Court holds that the Federation should henceforth pay allocations directly to the Local Government Councils, as paying to the State Government has not worked,” Justice Agim stated in his judgement. This decision is anticipated to empower local governments, enabling them to better manage their affairs and undertake projects that directly benefit their communities.
The Supreme Court’s ruling has been hailed by many as a victory for local governance and a crucial step in strengthening the federal structure of Nigeria. It underscores the need for a more efficient allocation system that supports the autonomy and development of local governments across the country.
As the judgement takes effect, it is expected that both the Federal and State Governments will comply with the directive, paving the way for improved service delivery and infrastructure development at the local government level.
