Pesident Bola Tinubu has warned state governors that he may issue an Executive Order to enforce direct allocation of funds to local governments if they fail to comply with a recent Supreme Court judgment granting financial autonomy to the third tier of government.
The President issued the warning on Friday during the 15th National Executive Committee meeting of the All Progressives Congress, held at the State House Conference Centre, Abuja.
Tinubu, in a veiled reference to the alleged withholding of statutory allocations by some governors, cautioned that continued non-compliance could compel him to direct the Federation Account Allocation Committee to pay local government funds directly.
Addressing NEC members, including state governors, National Working Committee members and other party leaders, the President stressed the need to obey the apex court’s ruling.
“The Supreme Court has capped it for you again, saying, ‘give them their money directly.’ If you wait for my Executive Order, because I have the knife, I have the yam, I will cut it.”
The President added, “I’m just being very respectful and understanding with my governors. Otherwise, if you don’t start to implement it, fact after fact, you will see.”
Tinubu’s warning followed the Supreme Court’s landmark judgment of July 11, 2024, which upheld the Federal Government’s suit seeking to enforce financial autonomy for local governments.
In the unanimous verdict delivered by a seven-member panel, the court declared it unconstitutional for state governments to retain or manage funds meant for local councils.
The apex court consequently ordered that allocations from the Federation Account be paid directly to local governments, as stipulated under Sections 162(5–8) of the 1999 Constitution (as amended), a provision often circumvented through the use of state-local government joint accounts.
Reiterating his stance, Tinubu urged governors to comply fully with the judgment, warning that persistent violations could attract federal intervention.
“The ultimate goal is our Supreme Court. We have to comply. We have to respect the judgment,” he said.