Managing Internally Generated Revenue in Local Government Areas: A Professional Assessment of Oyo State

This study provides a professional assessment of internally generated revenue management practices in local government areas of Oyo State, South West Nigeria, with the aim of identifying strategies to enhance fiscal autonomy and service delivery capacity. Local governments in Nigeria are heavily dependent on federal allocations, with internally generated revenue accounting for a small fraction of total revenues in most local government areas. Drawing on public financial management theory and recent local government fiscal literature from 2019 to 2024, the study employs a practitioner research design. Data are collected from local government financial officers, tax administrators, market and property revenue collectors, and state Ministry of Local Government officials across ten local government areas through structured questionnaires and financial records analysis. Descriptive statistics and variance analysis are applied. The study anticipates finding that weaknesses in revenue identification, informal collection practices, staff capacity gaps, and political interference in revenue deployment are primary constraints on internally generated revenue growth in Oyo State local governments. The role of digital revenue collection platforms and revenue management reform pilot programmes is also examined. Recommendations will address revenue audit mechanisms, digital invoicing and collection platforms, professional training for revenue officials, and incentive frameworks linking revenue performance to local government budget allocations. Keywords: internally generated revenue, local government, fiscal management, Oyo State, public financial management