Economy
State governors blocking LG financial autonomy, group raises alarm

A non-governmental organisation (NGO), Peasant Empowerment Concern Initiative (PECi), has raises alarm over a perceived notion that 35 state governors are blocking local government financial autonomy for sheer personal gains
PECi made the allegation in a statement jointly signed by the national coordinator, Senator Ita Enang and publicity secretary, Mr. Osita Okechukwu, over the weekend.
The group alerted Nigerians of the danger of impoverishment of rural areas, by extension peasants.
It submitted that going by the records of Federal Accounts Allocation Committee (FAAC), the milestone financial autonomy of local government councils initiated by President Bola Tinubu is in danger.
Currently, it observed that only Delta State complied, while 35 States have refused to open accounts with CBN as directed.
It noted that local government financial autonomy is meant to develop our grassroots and empower peasants, majority of whom reside in the rural areas.
The group also noted that the peasant empowerment and development gains is the intendment of local government financial autonomy.
Unfortunately, it lamented, the move is being blocked by the state governors.
It further lamented that this will further impoverish the citizenry, fuel urban migration, kidnapping and spread rural diseases.
The NGO frowned at the intimidation and coercion strategy allegedly adopted by the governors.
“They cynically prefer commercial banks domiciliary accounts lodgment easy to manipulate more than CBN accounts that is out of their control,” the NGO regretted.
PECi challenged all progressives to join hands to give life to financial autonomy of local government councils.
“It’s the only toolkit to stop state governors who for 25 years have converted it to slush funds, thereby sabotaging the development of rural areas,” the group stated.
It could be recalled that on July 14, 2024, the Supreme Court in a landmark judgment granted financial autonomy to the 774 local government councils in Nigeria.
This was followed up by the directive that all local government councils shall open domiciliary account with CBN.
PECi reminisced on how the EFCC up to date unfortunately is still burdened with the trial of many state governors who pilfered local government funds for personal gains.
The group said that Nigerians had jubilated with the liberation of local government funds with this progressive policy.
However, ‘it would seem untoward and regrettable that Nigerians are still held hostage by state governors, who for 25 years frustrated the amendment of the 1999 Constitution in favour of local government autonomy, said PECi.
It submitted that mismanagement of local government councils’ funds for personal gains over the years have stifled democracy and sabotaged peasants’ empowerment at the grassroots level, hence watered down Mr. President’s milestone legacy.
The NGO, therefore, appealed to Mr. President to, as a matter of urgent national importance, freeze the accounts of state governments that obstruct direct allocation of funds to local government councils.
This, it said, will accelerate the development of our rural areas and deepen democracy at grassroots level.
Finally, PECi further appealed to the National and State Assemblies to include in the ongoing constitutional amendment the unique Uwais Electoral Reform recommendation.
The recommendation states that chairman and commissioners of both the Independent National Electoral Commission (INEC) and State Independent Electoral Commissions (SIECs) should be publicly bided to divorce the loyalty of appointees from appointers and enhance free and fair elections.
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