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FG, Govs agree to delay direct LG allocations for three months

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FG, Govs agree to delay direct LG allocations for three months
• President Bola Tinubu with Nigerian Governors
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The Federal Government and state governors may have agreed to a three-month moratorium on Local Government autonomy, over concerns arising from its impact on salary payments and operational viability.

The development means Local Governments may wait till October before the implementation of the law in the direct payment into their respective accounts.

The Supreme Court, on July 11, 2024, gave a landmark judgment affirming the financial autonomy of the 774 LGs in the country and ruled that governors could no longer control funds meant for the councils.

The apex court also directed the Accountant-General of the Federation to pay LG allocations directly to their accounts, as it declared the non-remittance of funds by the 36 states unconstitutional.

Under former President Muhammadu Buhari, the Nigerian Financial Intelligence Unit issued a regulation, effective from June 1, 2019, which banned transactions on State and Local Governments Joint Accounts. Funds were sent directly to the accounts of the local governments. It also limited cash withdrawals from local governments accounts to a maximum amount of N500,000 per day with penalties for banks that failed to comply. The Nigerian governors under the aegis of the Nigerian Governors’ Forum kicked against this regulation and the NFIU eventually capitulated.

The status quo was maintained until May 2024 when the Attorney-General of the Federation, Lateef Fagbemi (SAN), filed suit marked SC/CV/343/2024 at the Supreme Court to strengthen the autonomy of the local government areas as guaranteed by the constitution. It sought to prevent state governors from unilaterally dissolving democratically elected local government councils and establishing caretaker committees, actions that violate constitutional provisions. The AGF argued that the constitution mandates a democratically elected local government system and does not allow alternative governance structures.

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The suit also prayed that the funds from the Federation Account be channelled directly to local governments, bypassing the allegedly unlawful joint accounts managed by state governors. The Federal Government also sought an injunction to stop governors and their agents from receiving or spending local government funds without a democratically elected local government system in place. It contended that the governors’ failure to establish such a system constitutes a deliberate subversion of the 1999 Constitution. The Supreme Court heard parties to the case on June 13, with the state governments, through their respective attorneys-general, opposing the suit.

That was the prelude to the Supreme Court judgment of last Thursday, July 11, 2024, which has now affirmed the financial autonomy of Nigeria’s 774 local governments. In the unanimous judgment of its seven-member panel, the Supreme Court upheld the suit brought by the federal government to strengthen the independence of local governments in the country.

A member of the panel, Emmanuel Agim, who delivered the court’s lead judgment, held that the local governments across the country should henceforth receive their allocations directly from the Accountant-General of the Federation. He ruled that it is illegal and unconstitutional for governors to receive and withhold funds allocated to local government areas in their states.

Many Nigerians, including the LG chairmen, hailed the judgment of the Supreme Court, describing it as a step in the right direction to restructure the country.

Although some governors voiced their concerns, the Nigeria Governors’ Forum, speaking through the chairman and Kwara State Governor, AbdulRahman AbdulRazaq, said the judgment was a relief from the financial burden to state governments.

AbdulRazaq, speaking to journalists after meeting President Bola Tinubu on July 12, a day after the judgment, said, “The governors are happy with the devolution of power regarding local government autonomy. The public really doesn’t know how much states spend on bailing out local governments.”

More than a month after the judgment, the order of the apex court had not been complied with.

In July 2024, total disbursements by the Federation Allocation Account Committee increased to N1.354tn, with LGs receiving N337.019bn.

At the July meeting of FAAC, chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun,  of the total amount shared to the three tiers of government, the Federal Government received N459.776bn, the states received N461.979bn, the LGs got N337.019bn, while the oil-producing states received N95.598bn as derivation (13 per cent of mineral revenue).

The Association of Local Governments of Nigeria, however, waited in vain to get the money paid directly into the LG accounts.

The Incorporated Trustees of ALGON accused the state commissioners of finance of conspiring with governors to obstruct the direct payment of allocations from the federation account to the 774 LGs’ accounts.

In a letter addressed to the Chairman of the Forum of State Commissioners of Finance in Nigeria, dated July 30, 2024, and signed by its counsel, Mike Ozekhome (SAN), ALGON threatened to initiate contempt proceedings against the commissioners if they failed to comply with the Supreme Court order.

Ozekhome stated in the letter that his clients’ enthusiasm over the apex court decision had been thwarted by the finance commissioners committee.

Though another faction of ALGON, led by Aminu Maifata, denied issuing a legal threat against the commissioners’ committee, Ozekhome insisted that he was briefed by the ALGON Board of Trustees in a letter signed by the Secretary-General of the board, Mohammed Abubakar.

The Federal Government confirmed that it had not yet commenced direct payment of the monthly allocations to the 774 Local Government Areas.

Edun attributed the delay to the proceedings of the Supreme Court, which had not been communicated to the Attorney General of the Federation for proper study and implementation.

He said the process was still in its early stages, adding that further steps would be taken once the full details were available.

The minister said the Federal Government was yet to commence direct payment to the respective LGs due to some “practical impediments” and added that a committee had been set up by the FG to look at the practicability of the judgment.

It was gathered that the “practical impediments” were creating challenges for the implementation of the Supreme Court judgment on LG autonomy.

The Federal Government, it was learnt, faced challenges implementing the ruling on local government financial autonomy, with concerns over its impact on salary payments and operational viability.

The Oyo State Governor, Seyi Makinde, who raised concerns over the judgment, called for a homegrown solution to ensure the people did not suffer.

“The law is the law and when there is a conflict, yes, we should go to the court. But it behoves us to look for our own homegrown solutions that can ensure that we have transparency and that our people do not suffer. This is because when two elephants are fighting, it is the grass that will suffer,” Makinde was quoted to have said.

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Enugu Govt Refutes Report of Sale of Assets at ESBS, Water Corporation, Stadium, Lagos Liaison Office

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Mortuary tax not meant to generate revenue – Enugu Govt
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…Says only unserviceable assets at affected locations are to be disposed of

The Enugu State Government has dismissed as false and misleading a report in circulation on social media claiming that it is selling assets belonging to the Enugu State Broadcasting Service (ESBS), Enugu State Water Corporation, Nnamdi Azikiwe Stadium and the State Liaison Office in Lagos.

The government, in a statement issued by the Commissioner for Finance and Economic Development, Dr. Nathaniel Urama, on Wednesday, said the publication did not emanate from either the Enugu State Government or the Ministry of Finance and Economic Development.

Urama clarified that the government’s intended notice, which had not been published as of Wednesday, August 27, concerns the disposal of some unserviceable assets located at the affected government facilities, and not the facilities or institutions themselves.

He emphasised that the government intends to dispose of certain assets that have become unserviceable and are no longer of use to the state, in line with extant laws and due process.

He added that interested bidders would be required to obtain details of the assets from the Ministry of Finance and submit their bids in accordance with due process.

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“The information is erroneous and it is neither from Enugu State Government nor the State Ministry of Finance. We, therefore, advise the general public to please ignore the message circulating in the media,” he said.

The Commissioner urged the public and media organisations to verify information through official government channels before sharing or publishing it, warning against the spread of fake news and deliberate misrepresentation of government activities.

He reiterated that any official notice on the disposal of the unserviceable assets would be duly published through the appropriate channels.

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Nigeria records 8.51m terabytes of data use in first half of 2026

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Nigerian Communications Commission
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Nigerians consumed a record 8.51 million terabytes of data in the first half of 2026, underscoring the country’s accelerating shift toward a digital-first economy.

Data from the Nigerian Communications Commission (NCC) confirmed this. Specifically, in January, consumption was 1.385 million terabytes; February, 1.260 million terabytes and March, 1.422 million terabytes.

In April, consumption was 1.414 million terabytes. It climbed to 1.504 million terabytes in May and 1.532 million terabytes in June.

In 2025 alone, Nigerians consumed over 13.2 million terabytes of data, a 35 per cent increase from 2024, reflecting how connectivity has become essential for daily life.

The surge in consumption was driven largely by the twin giants of the telecom sector, MTN Nigeria and Airtel Nigeria, whose half-year reports revealed data services have firmly overtaken voice as the primary revenue stream.

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According to industry figures, average monthly data usage per subscriber rose sharply, reflecting the growing reliance on mobile broadband for work, entertainment, and commerce.

Streaming platforms, social media, fintech apps, and remote work tools have all contributed to the spike in demand.

MTN Nigeria reported that its 55.7 million active data subscribers consumed an average of 14.8 gigabytes per month, representing a 15.2 per cent increase year-on-year. Overall, MTN’s data traffic surged by 25.8 per cent across its network in the period.

This translated into a massive N1.70 trillion in data revenue, a 38.4 per cent jump compared to the same period in 2025. Data now accounts for more than half of MTN’s total service revenue, dwarfing its voice earnings of N993.5 billion, which grew at a modest 12 per cent.

Airtel Nigeria also posted strong numbers, recording N691 billion in data revenue ($507 million). While Airtel’s voice services contributed to a combined N1.42 trillion in voice earnings alongside MTN, the clear trend is that data has become the dominant driver of growth.

Together, MTN and Airtel generated N2.4 trillion from data services in H1 2026, cementing their role as the backbone of Nigeria’s digital economy.

MTN invested N620.5 billion in capital expenditure during the period, focusing on expanding 4G coverage, scaling 5G rollout, and strengthening fibre infrastructure. The company’s aggressive push into next-generation networks is aimed at meeting the surging demand for high-speed connectivity.

Airtel, meanwhile, faced challenges with fibre cuts and vandalism, forcing reinvestments to stabilize its network. The operator is blending 5G expansion with satellite partnerships to extend coverage into rural and semi-urban areas, where demand for reliable Internet is rising.

Despite these investments, many consumers continue to express dissatisfaction with service quality. Complaints of slow speeds, unstable connections, and high costs remain widespread, highlighting the gap between consumption growth and infrastructure capacity.

The NCC has repeatedly urged operators to deepen investments in fibre, towers, and spectrum to sustain the country’s digital transformation. Analysts note that the sector is undergoing a structural shift from voice-first to data-led growth, with internet connectivity now central to economic activity.

Industry experts predict that Nigeria’s data consumption will continue to rise exponentially as smartphone penetration increases and more services migrate online. The rollout of 5G is expected to further accelerate usage, enabling innovations in fintech, e-commerce, healthtech, and entertainment.

The consumption of 8.51 million terabytes in H1 2026 marks a historic high for Nigeria’s telecom industry. It reflects not only the appetite of a digitally hungry population but also the broader transformation of the economy.

With MTN and Airtel leading the charge, the challenge now lies in improving service quality, expanding infrastructure, and ensuring affordable access for millions of Nigerians. As data becomes the lifeblood of communication and commerce, the telecom sector’s ability to keep pace with demand will determine how effectively Nigeria harnesses the opportunities of the digital age.

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Oji River women mobilise support for Governor Mbah, APC ahead of 2027 polls

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…Dame Madueke: Mbah’s investments in Education, Healthcare, Infrastructure transforming Oji River

Women of Oji River Local Government Area of Enugu State have pledged their support for Governor Peter Mbah and the All Progressives Congress (APC) ahead of the 2027 general elections.

The women made their position known on Sunday at a gathering organised by the Enugu State Commissioner for Culture and Tourism, Dame Ugochi Madueke, at her country home in Inyi, Oji River LGA, as part of activities to celebrate womanhood and highlight the achievements of the Governor Peter Mbah administration in the council area.

Madueke said the event was organised to bring together women from Oji River irrespective of their political, religious or community affiliations, while also providing an opportunity to showcase projects and programmes executed by the state government in the area.

She said the Mbah administration had established 20 Smart Green Schools and 20 Type 2 Primary Healthcare Centres in Oji River, while work was progressing on the Umabi-Ehuhe Achi and Enugu-Aku-Inyi roads.

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The commissioner also commended Governor Mbah for appointing indigenes of Oji River to various positions in his administration, as well as supporting women through different empowerment initiatives, including monthly financial assistance facilitated by the wife of the governor, Mrs Nkechinyere Mbah.

“Today, we are giving out a lot of wrappers, rice, food and empowerment for the women. We also have a medical team that will check their vitals and everything,” she said.

Madueke disclosed that the gathering was also used to assess Permanent Voter Card (PVC) ownership among participants, noting that only women with PVCs were welcomed into the venue.

While noting that more than 3,000 women attended the gathering, she attributed the large turnout to sustained sensitisation efforts by the Executive Chairman of Oji River Local Government Area, Mr Greg Anyaegbudike.

The commissioner said the women had resolved to support Governor Mbah and APC candidates in the 2027 elections.

“We promise him that come 2027, Oji River will deliver votes for APC from top to bottom,” she declared.

Dame Madueke said the gathering was also a demonstration of the important role women play in community development and political participation, adding that the initiative was aimed at strengthening unity among women in Oji River and creating a platform for them to engage with government programmes and development initiatives.

She said the administration’s investments in education, healthcare, infrastructure and human capital development had created tangible benefits for communities across the state, including Oji River.

Speaking, the wife of the council chairman, Mrs Uche Anyaegbudike, said women across Oji River had benefited from various empowerment and welfare programmes.

She said the initiatives had provided uniforms and wrappers to women, while petty traders, church groups and other beneficiaries had received financial assistance.

According to her, about 150 women received N100,000 each during the previous August meeting, while 20 women currently receive N100,000 monthly under an empowerment scheme.

She said the interventions had enabled beneficiaries to expand their businesses and improve their livelihoods.

Also speaking, the council chairman, Mr Greg Anyaegbudike, described the large turnout as evidence of the women’s support for Governor Mbah and the APC.

He said the women were not compelled to make any political declaration, stressing that their support was based on the impact of the administration in the council area.

“What you see here is that the crowd is organic. You can see old women coming out in their various uniforms and various groups coming here to say it is Peter Mbah.

“This is about the Smart Green Schools, the hospitals, human capital development and scholarships,” he said.

Anyaegbudike further disclosed that more than 123 indigenes of Oji River were currently benefiting from the state government’s scholarship programme for students in higher institutions.

The Commissioner for Children, Gender Affairs and Social Development, Mrs Ngozi Enih, urged the women to sustain their support for Governor Mbah and the APC.

Enih said the governor had demonstrated commitment to improving infrastructure, human capital development and the welfare of residents across Enugu State.

She also commended Madueke for bringing the women together and creating a platform for them to celebrate womanhood, highlight government interventions and discuss further development in Oji River.

The Chief of Staff to the Governor, Barr. Victor Udeh, was among other dignitaries who attended the event.

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