MAXIMIZING INTERNALLY GENERATED FUND FOR LOCAL DEVELOPMENT IN SISSALA EAST DISTRICT ASSEMBLY OF THE UPPER WEST REGION

Abstract

Generally, the concept of decentralization involves the relinquishing of the power of decision making by a central authority to local government administrators on issues that affects the general wellbeing and development of local people. To strengthen the financial standing of MMDAs, the Local Government Act 1993 (462) and Act 2016 (Act 936) provides the opportunity for all MMDAs to raise internally or locally generate revenue for the purpose of undertaking developmental projects without relying on central government support or other external sources of funding that would have time effect especially in the provision of health and basic needs. However, most of the MMDAs for some time have not been able to raise revenue effectively at the local level. The study adopted a cross sectional survey design with a sample of 100 business and properties owners to collect and analyze its data. The findings showed that education has a significant relationship with the knowledge and understanding of IGF whereas marital status and occupation have significant relationship with payment of taxes and levies. Much of the IGF is used to run the day-to-day affairs of the Assembly as showed by the results. The findings showed that ineffective monitoring and evaluation of revenue mobilization exercise has affected internal revenue mobilization efforts of the Assembly. Though significant, the study concludes that the Sissala East Municipal Assembly has not been effective in the mobilization and maximization of its IGF, thus recommends that the Assembly should revive its dead rates and levies in order to widen the revenue base