ABSTRACT
The concept of local government is rooted in the logic of grass root politics which began in the colonial era as native authority system. On the eve of political independence and afterwards, successive administrations embarked on local government reforms with the underlying objectives of modernizing the local government system and transforming it to a democratic institution capable of competing with national and global institutions. A critical evaluation of Nigeria’s political history with specific reference to local government indicates a serious democratic deficit. This paper demonstrates that the critical challenge of democratic consolidation in Nigeria is that of placing the local government system in a right footing. Using a comparative public policy approach, the study examines the challenges and dividends of Nigeria’s contemporary local government system. The research findings show that a dependent relationship exists between the local government and state government institutions and this undermines the capacity of local government as a third tier. The study recommends an institutional reorientation and national democratic reform as sine qua non for political development in Nigeria.