University Don applauds supreme court judgement over LGAS funds
Says it will enhance fiscal responsibility
By OGB Joseph, Abuja
An economist at the University of Abuja, Professor Peter Siyan has explained the implications of state governors no longer in control of allocations to the local governments Areas, stating that it will enhance fiscal responsibility at the LGAs in Nigeria.
Siyan, in response to Thisnigeria, noted that the Supreme Court has ruled that the FG should obey the constitution of Nigeria and henceforth credit the LGA accounts in the federation directly.
He said: ” This judgement on LGs autonomy will weaken the so-called conquering governors. But by the principles of federalism, LGs are supposed to be as autonomous from the states’ influence as the states are from the federal.
” The issue of commonly funded projects, where the issue of bonds comes in, can simply be handled: pro-rata, proportionate, quota, or other arrangements can be put in place.
” Nigeria is not the only place where we have semi-autonomous tiers of government. And, if by this arrangement, the federal government finds it more difficult to manipulate Nigerians through the conquering governors.
On the implications, he added: ” The funds should be managed by elected and not selected officials.
” The judgement by Justice E. Agim was very clear that allocation meant for the LGA should get to them without transferring from the so-called joint account as stipulated by the provision in Section 162(3) of the 1999 constitution.
” The economic implications of such judgment are enormous: it will enhance fiscal autonomy for LGAs with increased efficiency and responsiveness,” he added.
” It will also empower the LGAs because of their direct access funds. Infarct the officials can plan and execute projects that meet direct needs of the people without delay.
” This will reduce drastic leakages, diversion, and siphoning of public funds. especially if allocations are published.
” The judgement will not only stimulate growth but also create more jobs for the youth and our teaming unemployed involved in illegal activities.
” Now, the capacity of the LG staff who have been redundant would be enhanced administratively.
” I think this singular pronouncement will strengthen the principle of federalism. LGs will now be constitutionally guaranteed allocations directly. This will promote decentralization or decentralized governance.
” In conclusion, the Supreme Court’s ruling will have a far-reaching positive economic implications such as improved service delivery, development, autonomy, increased accountability, and reduced corruption,” he stated.
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