Abstract
This paper examines the local government system in Nigeria, its relevance and impact in poverty reduction, economic growth and sustainable development. After a review of the local government system in Nigeria as an example of political, fiscal and economic decentralization, it examines the nature and evolution of local government in Nigeria as well as the roles and responsibilities of the local governments in the Nigerian context. In examining the deficiencies of the local government system in Nigeria one of the major issues seem to be a problem of accountability of local governments along with serious capacity issues. The paper concludes with a treatment of the imperatives for optimizing the effectiveness of local governments in Nigeria.
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