Local Government Finance is the study that deals with how local government raise fund from

different source and how effectively can allocation it's financial resources. And Financial Management in
local government Authorities Deals with the process of procuring funds and it's effective and judicious
utilization in term of the overall objectives of the firms and expectations of the provides of funds. The
financial management involve; Allocation, Expenditure management and mobilization. Political leaders
play a crucial role in ensuring effective financial management in Local Government Authorities (LGAs).
Here are some key roles they play:

Policy Formulation: Political leaders are responsible for formulating policies and guidelines
related to financial management within Local Government Authorities . They need to establish clear
frameworks and guidelines that promote transparency, accountability, and efficiency or effectively to
meet the need of the community in financial operations. Potical leader formulate the policy on the
following ways there are setting Agenda, Decisionmaking, Negotiations and compromise, Public
communication, Influencing legislation, and International relations.

Budget Approval: Political leaders are typically involved in the approval of the Local Government
Authorities annual budget. They need to ensure that the budget is realistic, reflects the priorities of the
community, and is aligned with the strategic objectives of the Local Government Authorities .also the
political leaders play crucial role in the budget approval,Utilizing their power and influence to shape the
outcome of budget negotiations and decision.the political leader can impact the budget approval on the
Formation of the president budget,Submission of the president budget to congress, House and Senate
budget,Appropriation bills, floor consideration and final passage.

Oversight and accountability :Political leaders have a duty to oversee the financial operations of
the Local Government Authorities . This includes monitoring revenue collection, expenditure patterns,
and adherence to financial regulations. They should conduct regular reviews and audits to ensure that
financial resources are being used appropriately.Accountability Political leaders are accountable for the
financial management of the Local Government Authorities. They need to ensure that financial reports
are accurate, timely, and transparent. They should be prepared to answer questions from the public,
auditors, and oversight bodies regarding the financial affairs of the Local Government Authorities.

Resource Allocation: Political leaders play a role in allocating financial resources within the Local
Government Authorities . They need to make decisions on how funds are distributed among different
departments and projects to ensure that resources are used effectively to meet the need of the
community Effective resource allocations are essential for the proper functioning of LGAs. It is through
resource allocations that priorities are set, programs are funded, and services are delivered to the
residents within a local government jurisdiction. Political leaders must make informed decisions on how
resources are allocated to various departments, projects, and initiatives to address the needs and
demands of the community while ensuring fiscal responsibility.

Training and Capacity Building; Political leaders should prioritize training and capacity building
for Local Government Authorities staff involved in financial management. By investing in training
programs, they can ensure that staff have the necessary skills and knowledge to manage finances
effectively and in compliance with regulations. political leaders build capacity within their Local
Government Authorities to improve financial management capabilities over time. This may involve
investing in training programs for staff members or implementing new technologies to streamline
processes. By building a culture of continuous improvement and learning within their organizations,
political leaders can help ensure that their Local Government Authorities are able to effectively manage
resources now and into the future.

Promoting Transparency and Integrity: Political leaders should promote a culture of

transparency and integrity within the Local GovernmentAuthorities . They should lead by example and
demonstrate a commitment to ethical behavior and accountability in financial matters

Generally , political leaders play a critical role in ensuring effective financial management in
Local Government Authorities by setting the tone, providing oversight, allocating resources wisely, and
promoting a culture of transparency and accountability.

REFERENCES
World Bank Group (2021). Urban Finance & Investment Program: Local Government Finance & Fiscal
Decentralization.

Connor H crews (2023).INTRODUCTION TO LOCAL GOVERNMENT FINANCE, Fifth Edition