The National Assembly will introduce legislation to enforce the Supreme Court’s July 25, 2024 ruling that federal allocations must be paid directly to Nigeria’s 774 local government councils, Senator Sunday Karimi announced while addressing constituents during the yuletide break.
Local government financial autonomy at centre of new legislation
Karimi, chairman of the Senate Committee on Services, said parliament will back President Bola Tinubu’s position and move swiftly to compel compliance. He described the court’s judgment as explicit: state governors’ control over local government resources is unconstitutional and caretaker committees are void.
“The National Assembly will prioritise the matter of non-adherence by certain governors,” Karimi said. “We will back the President with relevant laws which will be retroactively effective. They will track kleptomania and the spending spree of governors who have been looting the commonwealth of the people of Nigeria.”
The planned laws, Karimi added, will include provisions to prosecute officials who divert funds, compel recovery of stolen resources and punish those who undermine the ability of local governments to deliver basic services.
Karimi painted a stark picture of how local government allocations are being handled in some states. He alleged that funds are transferred into accounts only for state-level actors to process fictitious vouchers and channel money to cronies, while elected councillors and chairmen are coerced into signing off on fraudulent transactions.
“No jobs are carried out,” he said. “Funds are looted steadily and regularly. Chairmen dare not complain for fear of their lives because the ruling gangs in some states are deadly. This type of fraud should not be happening in the 21st century in Nigeria.”
The senator linked the dysfunction of local government to worsening insecurity, citing remarks from the Chief of Defence Staff that the inability of local governments to function has contributed to ungoverned spaces. Karimi argued that restoring fiscal autonomy to councils would strengthen grassroots democracy and improve service delivery.
President Tinubu, Karimi noted, has already warned errant governors that he may issue an executive order to ensure compliance. Karimi suggested that legislative measures would reinforce the executive’s options and make enforcement more robust and wide-ranging.
Observers say a clear legal framework that guarantees direct federal transfers to elected local authorities could reduce opportunities for misappropriation and improve accountability. Critics of the current practice have long maintained that state interference erodes the capacity of local councils to address local needs, from sanitation and primary healthcare to education and infrastructure maintenance.
Karimi’s comments signal a parliamentary push to close loopholes and provide mechanisms for recovery and punishment where funds have been diverted. He insisted there is consensus that the current administration has made resources available, but too many Nigerians are not yet feeling the benefits because allocations do not reach intended recipients.
Details of the proposed bills have not been published, and Karimi did not give a timeline for their introduction. Lawmakers will need to draft measures that align with the Supreme Court ruling while withstanding potential legal challenges. For many local government officials and citizens, the priority will be swift implementation to ensure that decentralised funding begins to deliver tangible improvements at the grassroots level.
Key Takeaways:
- Senator Sunday Karimi says National Assembly will pass laws to enforce the Supreme Court ruling on local government financial autonomy.
- Legislation will be retroactive and aim to stop governors diverting federal allocations intended for 774 councils.
- Karimi warns of prosecution for defaulting governors and links the withholding of funds to insecurity and poor service delivery.

















