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             LOCAL GOVERNMENT AND ITS PERFORMANCE

                                     CHAPTER ONE


1.1 Background of study

Different author’s and scholars have given various definition to the term “Local government” if it is viewed from a legalistic point of view, it may be referred as “Body corporates” having perpetual succession with power to save and be saved”

Administratively, it is referred to as a body that has three essential characteristics these are:

1. Local election or selection.

2. Operating in a restricted geographical area within a nation or state.

3. The enjoyment of a measure of autonomy

From the above definitions, it is possible to define functions that are purely local character and which therefore should concern only those living in the locality. Thus the very objective of having local representation is to ensure that those do not share with the general body of their country, men may manage that joint by themselves.

Local government therefore, bring government nearer to the people at the grassroots level with a view to bringing the unnecessary gap-normally created by a centralized system of administration and allows them to participate in the running government affairs. Perhaps, it will not be out of place to mention that local government is established primarily to provide social service such as good roads, dispensaries, clinics, primary schools and so on.

In view of the significant roles attached to the local government system, especially in the areas of rural development as well as bringing government nearer to the grassroots level. It will therefore, be appropriate for one to say that “local government is the government of the people”

From the fore going, one could see the brain behind the establishment of local government system of administration is to perform some vital roles in areas of societal development. In this regard one question that readily comes to mind is “HOW CAN THIS AIM BE ACHIEVED”? This aim can actually be achieved by the local government being financially okay.

Local government source their finance from both internal and external sources;

1. EXTERNAL SOURCES: These are financial sources of which local government don’t have full control of the inflow, amount and some times is unsure of its time of arrival. They include statutory allocation, loans, grants, Aids and so on.

2. INTERNAL SOURCES: These are sources which are within the statutory preview of local government financing . They include tax rates, licence fee among others.
1.2 Statement of problem
In the process of local government financing the following problems were encountered.
i. Determination of viable projects in Anambara west, Umueze Amam Local Government Area.
ii. Procedure to monitor and ascertain external funding
1.3 OBJECTIVE OF THE STUDY
The objective of this research is to investigate the impact of local government activities in Anambara  west local government area. In the course of this study efforts are made to;
i. Identify and explain the factors that will influence the local government financing activities of Anambara West LGA.
ii. Investigate the extent to which the local government financing activities have contributed to the economic growth and development of the Anambara west, Umueze Amam LGA..
iii. Examine the problems facing the local government activities.
iv. Make conclusions and provide adequate recommendations.

1.4 Significance of study
The importance of the study is derived from the ability to analyze the local government expenditure and their ability to build up special funds. Its ability to act as meaningful indicators depends on certain characteristics, which are enumerated thus;
i. The analysis tells us the amount of funds needed to finance capital projects.
ii. Fund secured through revenue each year and money received from the sale of assets or by launching of and appeal from its country.
iii. The analysis the move about the statutory revenue allocation formula, loans and investment etc.

1.5 Research Questions

1. Does Local government performance have a significant impact on the growth and development of Nigeria

2. Is there a strong relationship between the performance of local governments and the improvement of standard of living and the economic growth development of Nigeria

1.6 Research Hypothesis

H0: Local government performance does not have a significant impact on the growth and development of Nigeria

H1: Local government performance have a significant impact on the growth and development of Nigeria
1.7 limitations of study
In the preparation of this research work various problems were encountered and are stated thus;
i. Non-availability of adequate resource material.
ii. Inadequate statistical data
iii. Lack of record keeping by the local government authority
iv. Lack of transparency


1.8 Definition of terms

Local Government:

Local government is a form of public administration which in a majority of contexts, exists as the lowest tier of administration within a given state. The term is used to contrast with offices at state level, which are referred to as the central government, national government, or (where appropriate) federal government and also to supranational government which deals with governing institutions between states. Local governments generally act within powers delegated to them by legislation or directives of the higher level of government

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