Scholars and policymakers widely acknowledge the critical role of good governance in rural development and poverty reduction. Unfortunately, decades of good governance reforms have not reduced poverty in Nigeria. But what is good governance? The problem is that the working definition and popularized principles of good governance do not actually emanate from the poor. Moreover, there is a lack of contextualization of the concept of good governance within the Nigerian context. Rather, donors’ institutional understanding is universalized through the imposition of a good governance agenda. This study aims to bridge this gap by examining the concept of good governance through the lens of rural communities in south-west Nigeria. Understanding good governance from the viewpoint of local citizens, who are the recipients of governance reforms, is vital for effective targeted reform. The study is based on the premise that communities possess a deep understanding of their own social circumstances and possess the capacity to express their unique insights. Employing Participatory Action Research (PAR) and qualitative methods like semi-structured interviews and focus group discussions, the research engaged a purposively selected sample from three rural communities in south-west Nigeria. The findings revealed that, for these communities, good governance primarily involves the government's ability to meet basic needs and provide welfare-enhancing infrastructure. Conversely, bad governance is characterized by declining welfare, economic hardship, and inadequate infrastructure. Interestingly, participants did not prioritize reforms like regular elections or anti-corruption measures as core attributes of good governance, although they did not oppose these aspects. This study underscores the need to incorporate the perspectives of local citizens in defining good governance, allowing for homegrown solutions that might offer quicker and cost-effective strategies for development.