Former Vice President Atiku Abubakar has hailed the Supreme Court’s ruling granting financial autonomy to Local Government Areas (LGAs) as a “victory for the Nigerian people.”
The federal government had filed a suit against the 36 state governors in May, seeking complete autonomy for the 774 LGAs and direct funding from the federation account, as mandated by the constitution.
The Supreme Court ruled in favor of the federal government on Thursday, ordering direct payment of allocations to LGAs and withholding funds from LGAs governed by unelected officials appointed by governors.
Atiku Abubakar welcomed the decision, stating that it represents a significant win for the country’s citizens.
Reacting in a post on his X formerly former known as Twitter) page, Abubakar commended the supreme court’s judgment, describing the ruling as a “step in the right direction” for national development.
However, he criticised the federal government’s decision to consolidate local council revenues into state government accounts, calling it a “politics of hasty compromise”.
“The judgment of the Supreme Court earlier today affirming fiscal autonomy to local government councils in the country is a win for the people of Nigeria,” Abubakar wrote.
“The court’s ruling is a step in the right direction and a major corrective action in greasing the wheels of national development across the country.
“The decision by the Federal Government to consolidate disbursements of local councils’ revenues into the state government accounts was a decision that was borne out of politics of hasty compromise.
“I align with the decision of the Supreme Court that the structure of the Nigerian government is portioned in three layers, and of these, the local governments should be centres of development.”
The former vice-president advocated for the expansion of fiscal autonomy beyond federation account allocations.
“I also share the belief that fiscal autonomy to the local governments should not be limited to revenues from the Federation Accounts but, indeed, should apply to Internally Generated Revenue from the respective local government authorities.
“Many of our states, especially those in the ultra-urban areas with high-density economic activities, have become notorious in muscling local councils from generating revenue on items that border on motor parks, outdoor advertising, rents and many more.
“The verdict of the court is in tandem with the core functions of the Supreme Court as an arbitration court between and among governments.”
