Implications of Fiscal Dependence on Local Government Performance in Dekina Local Government Area of Kogi State, Nigeria

Abstract

Fiscal dependence significantly influences the performance, efficiency, and service delivery of local governments in Nigeria. This study investigates the implications of fiscal dependence on the performance of Dekina Local Government Area in Kogi State. Anchored on the Theory of Fiscal Federalism, the study employed a survey research design, collecting data from 299 staff members across Grade Levels 07–16 of Dekina Local Government Council. Structured questionnaires and oral interviews provided quantitative and qualitative insights. Findings revealed that heavy reliance on state government allocations limits the council’s capacity to plan, implement, and sustain development projects independently. Fiscal dependence results in delayed project execution, inadequate funding for essential services, and the inability to address local development priorities effectively. Furthermore, state control over local government finances undermines administrative efficiency, reduces staff morale, and creates operational redundancies. Several rural road constructions and healthcare facility upgrades in 2023 and 2024 were affected by inconsistent funding. The study concludes that fiscal dependence adversely impacts the autonomy, performance, and accountability of Dekina Local Government. Recommendations include enhancing fiscal autonomy, strengthening internal revenue generation, ensuring timely release of statutory allocations, capacity building for council staff, and promoting participatory budgeting. These measures are essential for improving service delivery, fostering grassroots development, and strengthening confidence in local governance.