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LGA urges Finance Ministry to expedite block grants

The Local Government Authority (LGA) has requested the Finance Ministry to expedite the release of block grants to local councils.

In a letter to Finance Minister Mohamed Shafeeq, LGA's Director General Adam Shareef noted concerns from many councils regarding delays in receiving block grants. The letter, sent last Sunday, also requested the ministry to explain the reasons behind these delays to both LGA and councils and highlighted the difficulties councils face in contacting the Finance Ministry.

“The councils are noting that employees are dissatisfied with the councils due to delay in salaries at the end of the month, a direct result of delayed block payments," the letter said.

Block grants from the state budget to local councils began in 2020 under the administration of President Ibrahim Mohamed Solih.

Some councilors noted that while block grants are typically deposited by the 20th of each month, they have recently not been received even by the month's end and well into the next month.