- Joint State-local govt accounts now conduit for siphoning public funds, undermines autonomy — CISLAC
From Juliana Taiwo-Obalonye, Abuja
The appointment and election of incompetent individuals to leadership positions in Nigeria’s local government councils are significantly undermining governance and fueling corruption at the grassroots level, the Chairman of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), Dr. Musa Aliyu, has stated.
Speaking at a one-day dialogue on local government autonomy organized by the Civil Society Legislative Advocacy Centre (CISLAC) and Konrad Adenauer Stiftung (KAS) in Abuja, he highlighted how the systemic weaknesses in local administration stem largely from poor leadership choices.
“The support for individuals who may lack the necessary competence to effectively manage the affairs of local government councils—such as chairmen and councillors—has contributed to systemic weaknesses at this level of governance,” Aliyu said. “This has created a fertile ground for inefficiency and corrupt practices to thrive.”
Aliyu also pointed to flawed electoral processes as a compounding factor. “Often, electoral processes are inadequately prepared to deliver free, fair, and credible elections. These challenges have significantly undermined efficiency and created opportunities for corrupt practices to flourish in local administration,” he explained.
From the ICPC’s perspective, these governance failures have translated into financial abuses. “We have observed instances where funds have been misused under the guise of preparing for local government elections. In one such case, substantial sums were illicitly moved, raising serious concerns about transparency and accountability,” Aliyu revealed.
To address these challenges, the ICPC has partnered with the Centre for Fiscal Transparency and Public Integrity to launch the Accountability and Corruption Prevention Programme for Local Governments (ACCP-LG). This initiative targets corruption through five key areas: fiscal transparency, human resources, open procurement, citizen engagement, and corruption control.
Aliyu also urged stakeholders to respect the recent Supreme Court ruling affirming local government autonomy, warning against attempts to undermine the decision through frivolous legal challenges. He appealed to legal professionals to uphold the judiciary’s authority and avoid complicity in efforts to weaken local governance.
He concluded by calling for sustained collaboration and a commitment to constitutional principles to restore integrity and efficiency in Nigeria’s local governments. “With transparency and collective effort, we can build a truly autonomous and accountable third tier of government,” he said.
On his part, Executive Director of the Civil Society Legislative Advocacy Centre (CISLAC), Auwal Ibrahim Musa Rafsanjani, said the joint state-local government accounts (JAAC) increasingly serve as channels for the misappropriation of public funds, thereby eroding the independence and effectiveness of local administrations.
According to him, the misuse of JAAC continues to cripple local government autonomy in Nigeria, undermining transparency and fueling corruption at the grassroots level.
“The misuse of Joint State-Local Government Accounts has often served as a conduit for siphoning public funds. Without transparency in this area, the notion of autonomy remains merely symbolic,” he said, underscoring the urgent need for accountability reforms.
He highlighted that while recent Supreme Court rulings affirming financial autonomy for local governments are a step forward, the persistent abuse of JAAC accounts remains a significant barrier to true independence and effective governance.
“The Joint State-Local Government Account system, which was intended to streamline revenue sharing and financial management, has instead become a conduit for siphoning public funds,” Rafsanjani said. “Without transparency and accountability in how these accounts are managed, the notion of local government autonomy remains purely symbolic.”
Rafsanjani explained that JAAC accounts, controlled jointly by state and local government officials, have been manipulated by state actors to exert undue influence over local governments, often diverting funds meant for grassroots development. This practice has entrenched political interference, weakened institutional structures, and perpetuated corruption, effectively reducing local governments to mere extensions of state executive power.
He lamented that since Nigeria’s return to democracy in 1999, local governments have largely remained extensions of state executive power. He observed that state actors frequently dictate appointments, elections, budgets, and contract awards at the local level, often replacing elected councils with unelected caretaker committees in blatant violation of constitutional provisions.
“The local government system, in many states, has been reduced to a mere extension of state executive power, with local officials often beholden to state governors rather than their constituents,” he said.
The CISLAC’s boss further noted that the problem goes beyond financial control. “Appointments, elections, budgetary allocations, and contract awards at the local level are frequently dictated by state authorities. In some states, elected local government councils have been replaced with unelected caretaker committees for extended periods, in clear violation of the Constitution,” Rafsanjani added. “Such actions not only violate democratic principles but also sabotage development where it matters most — at the grassroots.”
He called for urgent and holistic reforms to address these systemic issues. He urged for legal reforms that clearly guarantee political, administrative, and fiscal autonomy for local governments, institutional reforms to ensure transparent budgeting and procurement processes, and electoral reforms that guarantee credible, interference-free local elections. Strengthening the oversight roles of anti-corruption agencies and empowering traditional institutions and civil society to actively participate in local governance were also emphasized as critical steps.
“Our advocacy at CISLAC is focused on evidence-based engagement, public sensitization, and legislative reform to close loopholes that undermine local government independence,” Rafsanjani explained. “We support whistleblower protection and are building citizens’ capacity to monitor public finance flows to demand transparency and accountability.”
He stressed that the dialogue was not merely about constitutional guarantees but about restoring trust and improving service delivery at the grassroots level. “No tier of government is closer to the people than the local government. When it fails, the entire governance system loses legitimacy,” he said.
Rafsanjani expressed optimism that the dialogue would generate practical recommendations and renewed commitment from all stakeholders to transform Nigeria’s local government system into one that is truly responsive, transparent, and development-oriented.