Local Government Councils got N1.699 trillion form the federation account in the first half of this year.
Monthly releases by the Nigeria Bureau of Statistics examined by The Nation showed that the amounts distributed by Federation Account Allocation Committee (FAAC) to the 774 council varies.
The releases also indicated a huge rise in the fund received by the Local Governments during the period.
In January, N288.93 billion was credited to them by the commission; N278.04 billion in February; N267.15 billion in March; N288.69 billion in April; N293.82 billion in May, and 282.48 billion in June.
The allocations are crucial in paying the salaries of council workers and implementing community development projects.
Before the Supreme Court judgment in June, which ordered direct allocation from the federation account to the local government account, funds from local government were sent to the state/local government joint account, from where they were disbursed to the councils under the authority of governors.
The absence of development at grassroots is an indication that councils don’t get more than a little from what was allocated to them.
There are expectations that with direct funding to the local governments a greater development at the grassroots will be facilitated.
Governors are displeased with the apex court judgment. Some of them, especially Oyo State Governor Seyi Makinde and Bauchi State Governor Bala Mohammed have grumbled aloud about the Supreme Court verdict.
States, according to the releases, also received substantial allocations during the same period. The allocations were complemented by the 13 percent derivation fund, a special allocation to oil-producing states.
In January the states got N396.69 billion and N57.92 billion to oil-producing states.
They received N379.41 billion in February with N85.10 billion for the oil-producing states.
March allocation to the states was N366.95 billion in addition to N166.24 billion for oil-producing states. April saw states getting N398.69 billion with N90.12 billion for oil-producing states.
In May 2024, it was N493.40 billion, with N120.45 billion released to oil-producing states, and in June, states received N388.42 billion and N106.50 billion for oil-producing states.
The allocations demonstrate the Federal Government’s continued support for state governments, particularly in oil-producing regions, where the derivation funds serve as a critical source of revenue for addressing their unique challenges.
The consistent flow of funds to local governments is expected to have far-reaching implications for local governance in the country as envisioned by the Bola Ahmed Tinubu administration.
The Nation
