Former Vice President Atiku Abubakar has praised the Supreme Court’s landmark ruling granting financial independence to local government councils nationwide.
In a statement released on Thursday via X, Atiku described the ruling as “a win for the people of Nigeria” and a step in the right direction.
The Supreme Court’s ruling effectively ends the long-standing practice of states consolidating local government funds into their own accounts.
Atiku Abubakar denounced the previous arrangement as a product of “stating that it was borne out of politics of hasty compromise.
Expressing his support for the ruling, Atiku said, “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 went further, advocating for an 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,” he stated.
Atiku highlighted concerns about state governments, particularly in urban areas, interfering with local councils’ revenue generation.
He wrote, “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.”
Atiku further praised the Supreme Court’s role, saying, “The verdict of the court is in tandem with the core functions of the Supreme Court as an arbitration court between and among governments.”
On Thursday, the Supreme Court declared that it is unconstitutional for state governors to hold funds allocated for local government administrations.
The seven-man panel, in the judgment delivered by Justice Emmanuel Agim, declared that the 774 local government councils in the country should manage their funds themselves.
The Supreme Court reaffirmed the principles of separation of powers, ruling that the government’s authority is divided among three distinct arms: the federal government, state governments, and local governments.
The Supreme Court also ruled that state governments lack the authority to unilaterally appoint caretaker committees to manage local governments, and that only democratically elected councils are legitimate and recognizable.
