Maryam Aminu
Local government autonomy in Kaduna State came under sharp fiscal scrutiny as the Fiscal Responsibility Commission (FRC) issued a stern warning to all 23 Local Government Chairmen against contracting loans without due legal clearance, declaring such actions unlawful and punishable under Nigerian law.
Delivering the message at the KADSFREC 1.0 workshop in Kaduna, the Director of Legal Services, Investigation and Enforcement at the FRC, Barrister Charles Chukwuemeka Abana, cautioned that no local government is permitted to borrow from banks or financial institutions without first obtaining a Certificate of Proof of Compliance (POC) from the Commission, in line with Section 45 of the Fiscal Responsibility Act (FRA) 2007.
Barrister Abana, who represented the Executive Chairman of the FRC, Victor Muruako, Esq., stressed that borrowing at any tier of government is strictly limited to capital expenditure and human development projects, including infrastructure.
He warned that financial institutions that lend in violation of the Act also risk legal sanctions, while public officers who flout the law expose themselves to serious consequences.
The workshop, held at the Fifth Chukker Polo & Golf Resort along the Kaduna-Jos Road, was organised by the Kaduna State Fiscal Responsibility Commission (KADSFRC) in collaboration with the Ministry for Local Government and Chieftaincy Affairs, under the theme “Strengthening Fiscal Responsibility and Public Financial Management Practices Across the 23 Local Government Areas of Kaduna State.”
In one of the strongest admonitions of the session, Barrister Abana condemned the spending of public funds without budgetary appropriation, branding the practice “fiscal haram.”
He cautioned council chairmen against indiscriminate disbursement of public funds to political loyalists, payroll inflation, or spending outside approved budgets.
“Every kobo spent must have value for money. Public resources must be planned, budgeted for, properly appropriated and disbursed towards projects that positively impact the lives of the people,” he said.
He urged local government leaders to embrace transparency, accountability and prudence, noting that fiscal indiscipline today mortgages the future of coming generations.
He also called on councils to take advantage of the FRC’s technical support to develop sound Fiscal Responsibility Bye-Laws that would entrench sustainable financial governance at the grassroots.
Barrister Abana commended Kaduna State Governor, Senator Dr. Uba Sani, CON, FNIQS, for his consistent support for transparency-driven reforms, noting that the Governor’s commitment has strengthened accountability institutions across the state.
He also praised the Chairman of KADSFRC, Hon. Sani Rabiu Bako, FNIQS, RQS, for his visionary leadership, urging him to expand the initiative to cover the entire North-West region.
Earlier, in his welcome address, Hon. Bako described the workshop as a vital platform for improving public financial management at the local government level.
He lauded the collaboration of key accountability agencies, including the Code of Conduct Bureau (CCB), Economic and Financial Crimes Commission (EFCC), Bureau of Public Procurement (BPP) and the Centre for Fiscal Transparency and Public Integrity.
According to him, the initiative was designed to ensure that fiscal responsibility principles value for money, transparency and accountability are fully understood and implemented where governance most directly affects citizens.
Declaring the workshop open, Governor Uba Sani condemned financial mismanagement and embezzlement of public funds, calling on elected officials and political appointees to uphold the highest standards of integrity.
He reaffirmed his administration’s commitment to fiscal discipline and institutional reforms, stressing that public trust can only thrive when government resources are managed efficiently and in the best interest of the people.
The workshop also featured technical presentations from participating agencies on fiscal responsibility, ethical governance, procurement processes and anti-corruption strategies, reinforcing the urgency of accountable financial management across all levels of government.
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