Supreme Court Grants Local Governments Direct Funding, Upholding Autonomy

In a landmark decision on Thursday, the Nigerian Supreme Court ruled that it is unconstitutional for state governors to withhold funds allocated to local governments. This judgement grants greater local government autonomy and empowers the nation’s 774 local governments (LGAs) to manage their finances directly.

Direct Funding Empowers Local Governance

The seven-member panel, led by Justice Emmanuel Agim, declared that funds allocated to LGAs must be provided directly, bypassing the control of state governments. This decision strengthens the financial independence of local authorities, allowing them to manage their resources more effectively and address the needs of their communities directly.

Separation of Powers Upheld

The court emphasized the constitutional principle of separation of powers, affirming the independence of the federal, state, and local government tiers. Justice Agim’s ruling reinforces the notion that each level of government has distinct responsibilities and authorities.

Democratically Elected Councils Essential

The Supreme Court underscored the importance of democratically elected local government leadership. Caretaker committees appointed by state governors were deemed invalid. This aspect of the judgement emphasizes the court’s commitment to democratic principles at the local level.

Attorney General’s Authority Upheld

The court confirmed the Attorney General of the Federation’s (AGF) right to initiate legal action upholding the constitution. This case was initiated by AGF Lateef Fagbemi (SAN), who argued that the practice of withholding LGA funds violated the constitution. The court’s decision affirms the AGF’s role in safeguarding constitutional principles.

Background of the Case

This landmark decision stems from a lawsuit filed by the Federal Government, seeking full autonomy and direct funding for all 774 LGAs. The 36 state governments contested the lawsuit’s jurisdiction, arguing that the Supreme Court lacked the authority to intervene. However, the court ultimately sided with the Federal Government.

Expected Impact

This decision represents a significant step towards strengthening local government autonomy in Nigeria. Direct access to finances will empower LGAs to manage their resources more effectively and address local needs directly. The judgement is expected to have a widespread impact on local governance and development across the country.

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