NULGE Slams Governors For Sabotaging LG Autonomy, Issues Stern Warning To CBN

The National Union of Local Government Employees (NULGE) has cautioned the Central Bank of Nigeria (CBN) against assisting state governors in obstructing local government financial autonomy.

This follows reports that the apex bank has refused to open accounts for local councils, citing alleged non-compliance with auditing requirements.

Speaking to Punch, NULGE National President Hakeem Ambali dismissed claims that local governments had failed to provide two years of audited accounts, asserting that no council in Nigeria lacks at least three years of audited financial records.

According to Ambali, local governments are fully prepared to present their audited accounts, ensuring a seamless process for opening accounts with the CBN. This would allow them to receive allocations directly, in line with the Supreme Court’s ruling mandating the Federation Account Allocation Committee (FAAC) to remit funds straight to LGs.

“There is no local government without at least three years of audited accounts, thanks to the Auditors-General at the local government level,” Ambali stated.

He further emphasized that the CBN cannot act against the Supreme Court judgment and urged the apex bank to issue a formal directive outlining account-opening requirements.

“Once the CBN provides clear guidelines, the LGs will meet the requirements without delay,” he added.

NULGE’s warning follows reports that many local governments are struggling to access their statutory allocations due to the CBN’s refusal to open accounts, allegedly over the non-submission of audited reports.

Amid concerns that the CBN’s stance is delaying full autonomy, NULGE has urged the apex bank to resist any pressure from state governors seeking to obstruct the process.