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| Revenue Generation and Local Government Development Attributes in Lagos, Nigeria
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ABATA Matthew Adeolu and SUARAU Deborah Oluwatoyin
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Abstract:
The continuous decline in the revenue base of local governments and the surge for infrastructural development in Nigeria calls for urgent attention of researchers. This study hereby examines revenue generation and local government development attributes and personal emoluments and general administrative expenses as a moderating variable. To achieve the objectives of this study, this study employs the explanatory research design. Although Lagos State has 20 Local Government Areas (LGAs) and 37 Local Council Development Areas (LCDAs), this research concentrates on the LGAs. Thus, for each of the LGAs, the empirical data cover annual periods between 2016 and 2020, which is a span of 5 years. The local government development attributes as the dependent variables are comprised of four (4) components, viz. primary health care and primary education. Static panel regression analysis was employed to examine the effects of revenue generation on LG development attributes. This study revealed that without interaction (moderation) with personal emoluments and general administrative expenses (PGE), changes in internally generated revenue and grant and allocation exert positive and significant effects on development of primary educational (PED) across the selected Local Government Areas (LGAs) in Lagos State. However, personnel emoluments and general administrative expenses (PGE) exert negative but statistical insignificant impact on development of primary educational. This finding is similar to other variables of the study. Arisen from the findings of this study, the researcher recommended that Local Government Councils in Lagos state should reduce their expense on personal emoluments and general administrative. This is achievable if unnecessary costs are eliminated from recurrent expenditures; all the LGA should invest more into library facilities, primary education and ensure that all out of school children are enrolled back to school; local government councils in Lagos state should employ more qualify health practitioners and encourage door to door medical practice in all the 20 local government areas
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