Withholding LG Allocations Unacceptable, Tinubu Tells Governors

President Bola Tinubu has issued a strong warning to state governors over the continued withholding of funds meant for local governments, stating that his administration may resort to an Executive Order to enforce direct allocations if compliance with the Supreme Court ruling on local government autonomy is delayed.
The president spoke on Friday at the 15th National Executive Committee (NEC) meeting of the All Progressives Congress (APC), held at the State House Conference Centre in Abuja.
Addressing party leaders, governors, and members of the APC National Working Committee, Tinubu expressed concern that some state governments were still failing to release statutory allocations to local councils, despite a binding judgment of the Supreme Court.
He cautioned that continued resistance could compel the Federal Government to intervene by ensuring that funds meant for local governments are paid directly from the Federation Account Allocation Committee (FAAC).
Referring to the apex court’s ruling, Tinubu said the judgment leaves no room for discretion, stressing that compliance is mandatory. He warned that failure to implement the decision could prompt decisive federal action.
The president’s remarks come months after the Supreme Court, on July 11, 2024, delivered a landmark judgment affirming the financial autonomy of local governments. In a unanimous decision by a seven-member panel, the court declared it unconstitutional for state governments to retain or control funds allocated to local councils.
The court ordered that allocations from the Federation Account be paid directly to local governments, in line with Sections 162(5–8) of the 1999 Constitution (as amended). The judgment effectively outlawed the long-standing practice of operating state–local government joint accounts, which had enabled governors to manage council funds.
Reiterating his position at the NEC meeting, Tinubu urged governors to respect the rule of law and implement the judgment without delay.


