The Socio-Economic Rights and Accountability Project has formally urged the Central Bank of Nigeria to clarify whether it has started disbursing funds directly from the Federation Account to the 774 Local Government Areas across Nigeria.

Additionally, SERAP is demanding that the CBN publicly disclose detailed information on these allocations, including the specific amounts disbursed to each LGA and the dates of disbursement.

This was disclosed by SERAP via its official X handle on Sunday.

In the post, the civic organization stated, “We’ve urged the Central Bank of Nigeria to immediately disclose whether the bank has commenced direct payment of allocations to the 774 local governments in Nigeria from the Federation Account with the bank, and to publish the amounts directly sent to each council.”

SERAP called for action following growing public concerns over the alleged diversion of local government funds by state governors.

The organization emphasized that its demand aligns with efforts to promote transparency and accountability in the management of public finances, especially at the grassroots level.

In July 2024, the Federal Government, through the Attorney General of the Federation, filed a lawsuit at the Supreme Court against all 36 state governors over alleged mismanagement of local government funds.

The suit seeks a declaration that allocations from the Federation Account meant for local governments should be paid directly to them, bypassing state governments, to ensure greater financial autonomy and accountability at the grassroots level.

The Federal Government further asked the Supreme Court to issue an order restraining state governors, their agents, and associates from accessing, spending, or interfering with local government funds from the Federation Account in states where democratically elected local government councils are not in place.

SERAP noted that the CBN, as the custodian of the Federation Account, holds a legal and ethical obligation to promote transparency in the handling of public funds.

It added that making disbursement details public would boost citizens’ trust and deepen democratic accountability at the local level.