The Socio-Economic Rights and Accountability Project has called on the Central Bank of Nigeria to immediately disclose whether it has commenced the direct disbursement of allocations to the seven hundred and seventy-four local government areas in Nigeria, following the Supreme Court’s landmark judgment nullifying state governors’ control over Local Government Area funds.
In a letter dated Tenth May 2024 addressed to the CBN Governor, Olayemi Cardoso, and signed by SERAP’s Deputy Director, Kolawole Oluwadare, the group also demanded that the bank widely publish the amounts, if any, so far sent directly to each of the local governments and provide a detailed explanation of any payments already made—particularly to Local Government Areas in Rivers State.
This request follows a Supreme Court judgment declaring the practice by governors and the FCT Minister of retaining and disbursing LGA allocations unconstitutional and unlawful.
The court ruled that no governor or agency has the authority to interfere with allocations meant for LGAs from the Federation Account.
The organization argued that the CBN has a constitutional and statutory obligation to protect the financial interests of all tiers of government.
