The Central Bank of Nigeria has recommended all councils to register dedicated accounts in response to the Federal Government’s plan to transfer funds directly from federal revenue allocations to the Local Government Area.
This was revealed on Sunday, January 19, 2025, by Bello Yandaki, national president of the Association of Local Governments (ALGON).
It has become crucial for the 774 LGs to establish a dedicated account with the apex bank, according to Yandaki, since the Supreme Court’s decision upholding the councils’ autonomy.
He claimed that the new council accounts would aid in the efficient execution of the Supreme Court’s ruling on LG autonomy.
The Nigerian Financial Intelligence Unit (NFIU) would monitor the cash released to the council chairmen, he also promised the public.
He also asked the public to ignore rumors that money to other councils around the country have been delayed.
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The CBN is currently awaiting instructions from the federal government to open local government accounts for the individual states, which can be completed in 24 to 48 hours for each state, he stated.
“We have already met with pertinent stakeholders, such as labor unions, local government chairmen, NULGE, and so on. I am a member of the subcommittee that was established to trash out contentious grey areas,” Yandaki stated.
