Abstract
Nigeria operates a federal system of government and power is allocated to federal, state and local governments. A collaborative effort was encouraged to promote socio-economic development. Unfortunately, lack of diversification of the economy and over concentration on crude oil, it now operates a monolithic economy. Federal government on monthly basis share the proceed to the three levels of government but ironically, nothing significant is shown for the huge allocations due to uncontrollable embezzlement and reckless spending by public servants more specifically local authorities due to the extreme closeness to citizenry. Documentary data were obtained from published books, reputable journals, government publications, magazines, newspaper publications, internet sources and personal observations in carrying out this study. The paper observed that embezzlement and reckless spending is on the increase in some Nigerian local governments and is manifested through the state joint local government account, embezzlements and reckless spending by local chairmen, fake projects, collusion in the transaction of government businesses, ghost workers, denial of statutory functions. The paper concludes that local government is at the verge of total collapse if adequate measures were not taken to savage the situation. The paper recommends that states joint accounts should be scrap for local governments have a sustainable development.
Highlights
Nigeria operates a federal system of government and powers are shared among the component units
It is obvious that most local government authorities are not functional enough to meet the need of its citizenry
In terms of meeting their core mandate they have been largely ineffective and inefficient. This explains why after many years of comprehensive and democratically minded local government reform of 1976, little social dividends can be found in most local government
Summary
Nigeria operates a federal system of government and powers are shared among the component units. This is indicative that local government is the third tier of government and is expected to be autonomous in the discharge of its duties. This was the essence of the various reforms at the grassroots governance, especially, the 1976 local government reform that among others recognised the council as a third tier of government and with powers to execute certain functions (Nwaodike, 2016). The councils have failed to deliver in its responsibilities
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