Local govt unions reveals date direct allocation to LGs will begin

By the end of October, the Federal Government will implement the direct transfer of funds into the accounts of local government councils nationwide

The President of the National Union of Local Government Employees, Ambali Olatunji, disclosed this during an interview.

This move marks the full rollout of financial autonomy for local governments, ensuring they receive their allocations without interference from state governments.

This decision aligns with the Supreme Court’s July ruling, which declared that state governors lack the authority to control funds designated for local councils.

The court ruled that only democratically elected local government administrations are constitutionally recognized, rendering state-appointed caretaker committees invalid.

While some governors had sought time to organize council elections, they were granted a three-month period for this purpose.

As the implementation deadline approaches, local governments are expected to gain better access to funds, enhancing their capacity to deliver essential services and drive local development.

Olatunji said, “Come October 11, the implementation of financial autonomy for local government will take full effect. We hope that by the end of October, local government allocations will directly reach council accounts across the country.”

Olatunji added that NULGE had submitted a position paper on how local government councils should be administered to the technical committee set up by the Federal Government for the implementation of financial autonomy.

He urged the federal and state governments to put in place measures to ensure that the funds were not diverted by the council administrators.