Fiscal autonomy and service delivery in Bendel local government area in Abia State, Nigeria

Abstract

This paper appraised the relationship between fiscal autonomy and service delivery in Bendel Local Government Area (LGA) of Abia State, Nigeria. Fiscal autonomy remains a critical component of effective local governance, especially in developing countries where local councils are often reliant on other tiers of government for funding. The study was guided by the broad objective of evaluating how fiscal autonomy affects service delivery in Bendel LGA. Fiscal Federalism Theory served as the theoretical framework, highlighting the need for decentralised financial control in multi-tiered systems. The study adopted a survey research design. Data was obtained from respondents, selected from a population comprising Bendel Local Government staff, elected officials, traditional rulers, community leaders, religious leaders, civil society members, and academics. The findings revealed that fiscal autonomy significantly influenced the efficiency and responsiveness of service delivery in the area. However, several challenges impeded the full exercise of this autonomy, including irregular federal allocations, state-level interference, and weak internal revenue frameworks. Furthermore, limited fiscal independence adversely affected the funding and implementation of basic infrastructure projects in the locality. In light of these findings, the study recommended that direct allocation of funds to local councils, legal reforms to strengthen financial autonomy, and the empowerment of Bendel LGA to utilise its internally generated revenue without state interference.