Going by the new Nigerian Financial Intelligence Unit (NFIU) guidelines, state governors may lose control of local government funds from the federation account.
According to the guidelines, the joint account system in place in most states will only exist for the receipt of allocations but not disbursement.
Besides, each of the 774 local government areas may get N500,000 cash transactions limit per day while all financial transactions by local governments will be registered and monitored by the NFIU through e-payment module. These are some of the highlights of the new guidelines, which the NFIU will launch today in Abuja as part of steps to check mass looting of the treasury by local government officials and diversion of LGA funds by governors.
