Management Of Local Government Finance In Nigeria: Challenges And Prospects

This article attempts to present a periscopic view of the management of local government finance in Nigeria. This is with a view to investigating the challenges of efficient and effective management of local government finance. The motivation was dismal and poor performances of local governments in Nigeria which have been attributed to improper management of local government finance. The paper examined and articulated some measurable instruments and conditions for effective management of finance for this level of government. The methodology used in the study was descriptive qualitative analysis. The management of local government finance was analyzed using efficiency theory. It was discovered that management of local government finance in Nigeria has been bedeviled by lack of long -term financial planning, corruption, the use of inappropriate budgetary system and so on. It was the contention of the paper that appropriate constitutional amendments to remove certain cogs in the wheel of making local governments an independent but coordinate part of Nigeria federalism, will ensure efficiency in the management of local government finance. Long-term financial planning and appropriate budgetary system will be ensured.