ASSESSING THE FINANCIAL INDEPENDENCE OF LOCAL GOVERNMENTS IN NIGERIA: A CASE STUDY OF WUKARI LOCAL GOVERNMENT, TARABA STATE
Yakubu A. Usman
Volume 12 Issue 3
Abstract
This study investigates the financial independence of local governments in Nigeria, with specific focus on Wukari Local Government Area of Taraba State. The problem underpinning the research arises from persistent fiscal dependence of local governments on federal and state allocations, which undermines their constitutional autonomy and capacity to deliver essential services. The objectives of the study were to examine the revenue sources of Wukari Local Government, assess the extent of its financial autonomy, and evaluate the implications for grassroots development. A descriptive research design was adopted, combining both primary and secondary data. Questionnaires were administered to staff of the finance and administrative departments, while official documents and reports were also reviewed. Data were analysed using descriptive statistics and thematic analysis. The findings revealed that Wukari Local Government heavily relies on statutory allocations from the Federation Account, with internally generated revenue remaining grossly inadequate. This fiscal dependency constrains local initiatives, delays service delivery, and fosters political interference. The study concludes that financial dependence has hindered the effectiveness of local governance in Wukari. It recommends strengthening local revenue mobilisation strategies, ensuring strict implementation of constitutional provisions on local government autonomy, and promoting transparency in financial management to enhance developmental outcomes. Keywords: Financial Independence, Local Government, Wukari, Taraba State, Development
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