Rivers, Anambra, Kano — 16 states, FCT failed to generate revenue from LGAs in 2023

The National Bureau of Statistics (NBS) says only 20, out of Nigeria’s 36 states, generated revenue from their local governments in 2023.

In its latest report on internally generated revenue (IGR), the NBS said 16 states and the federal capital territory (FCT) did not report any revenue from local government sources throughout the year.

The report said Katsina, Benue, Sokoto, and Adamawa did not also generate revenue from their local governments. The four states had failed to report no local government revenue in 2022, marking two consecutive years without contributions from this source.

In recent months, advocacy for greater local government autonomy has heightened, with many Nigerians emphasising that the councils are closer to the grassroots and play a vital role in addressing community needs.

Experts have also argued that insufficient revenue or the lack of direct funding has significantly hampered development efforts at the local level, limiting progress and effective service delivery.

In July, the supreme court issued a ruling mandating that funds allocated to local governments in Nigeria go directly to them from the federation account, bypassing state control.

The decision marked a significant shift toward financial autonomy for local councils, strengthening their independence over internal revenue generation.

According to the NBS, the states that recorded zero local government revenue in 2023 include Rivers, Delta, Kano, Enugu, Anambra, Katsina, Plateau, Nasarawa, Zamfara, Niger, Bayelsa, Benue, Sokoto, Adamawa, Kebbi, and Yobe.

Analysis by TheCable Index reveals that in 2023, the 20 states that generated revenue from local government activities collectively raised N37.05 billion. This is a decline from 2022 when 29 states generated a total of N48.7 billion.

In the year under review, Lagos led the list with N10.49 billion, followed by Ebonyi with N6.13 billion.

Here is a list of the 20 states and the revenue generated from their local governments.

1. Lagos: N10.49bn
2. Ebonyi: N6.13bn
3. Kwara: N3.35bn
4. Oyo: N3.11bn
5. Jigawa: N2.89bn
6. Edo: N2.59bn
7. Gombe: N2.09bn
8. Ondo: N1.39bn
9. Ogun: N1.31bn
10. Cross River: N701.34m
11. Taraba: N441m
12. Kaduna: N382.22m
13. Akwa Ibom: N343.18m
14. Abia: N341.74m
15. Ekiti: N303.65m
16. Kogi: N289.73m
17. Bauchi: N250.37m
18. Imo: N215.34m
19. Borno: N213.12m
20. Osun: N204.42m

While some states achieved higher revenue figures, others generated modest amounts, with Osun, Borno, and Imo reporting the lowest contributions at N204.42 million, N213.12 million, and N215.34 million, respectively.