The Nigeria Employers’ Consultative Association (NECA) has accused state governors of failing to account for increased allocations from the Federation Account Allocation Committee (FAAC), despite worsening infrastructure and rising insecurity across the country.
NECA’s Director-General, Adewale-Smart Oyerinde, made the assertion during an interaction with members of the Labour Writers Association of Nigeria (LAWAN), urging Nigerians to demand greater transparency from state governments on how monthly federal allocations are utilised.
Oyerinde argued that governors must provide clear explanations on the deployment of FAAC funds, particularly as many states continue to grapple with deteriorating public infrastructure and growing security challenges.
He noted that weak governance has adversely affected agricultural activities, with many farmers unable to access their farmlands due to insecurity, while others are reportedly compelled to pay levies before being allowed to farm.
“State governors are not justifying the monthly allocations they collect from the Federation Account. If issues such as food, transportation, accommodation and education were properly addressed, governance would be more inclusive and beneficial to citizens,” he said.
The NECA chief identified unemployment as a major contributor to insecurity, stressing that state governments must create a conducive environment for businesses to operate and generate jobs. According to him, economic inactivity fuels social unrest and criminality.
“The root of insecurity is unemployment. When businesses are allowed to thrive and jobs are created, idle hands will be meaningfully engaged,” he added.
Oyerinde also lamented the lack of reliable data on businesses affected by the prevailing economic conditions, describing it as a major obstacle to effective planning and policy formulation. He noted that job losses linked to security and infrastructure challenges have gone largely undocumented due to the absence of credible statistics.
He called on governments to prioritise data collection and management, insisting that a data-driven economy is essential for accelerated development.
Oyerinde further urged governments at all levels to align policies with economic growth objectives, emphasising that the private sector remains central to job creation, productivity and sustainable national development.
