The Central Bank of Nigeria (CBN) has taken legal action against the Nigeria Governors’ Forum and other parties, holding them responsible for the prolonged delay in the completion of a crucial nationwide health infrastructure project. The project, valued at over N85 billion, was designed to provide a fully functional Primary Health Centre (PHC) in each of Nigeria’s 774 local government areas. However, as of 2025, 190 of these health centres remain incomplete primarily due to litigation and disputes involving several state governments.
The initiative began in 2007 after receiving approval from the Federal Executive Council. The plan was to establish comprehensive PHCs in every LGA through a Public Private Partnership involving the Association of Local Governments of Nigeria (ALGON). The project, initially budgeted at N35 billion, later escalated to approximately N85 billion due to inflation and additional infrastructural demands.
To finance the ambitious health initiative, funds were deducted directly from local government allocations under the Federal Allocation structure. The CBN has maintained that these deductions were made lawfully, following formal consent obtained from the LGAs at the time. According to court documents, no sitting local government chairman raised any legal objection to the project or its funding mechanisms during the implementation period. The central bank insists that all relevant due processes were followed.
However, legal disputes began to arise when representatives from Boki Local Government Area in Cross River State and Brass Local Government Area in Bayelsa State filed a lawsuit in November 2024. In the suit, they challenged the legitimacy of the fund deductions and questioned the authority of ALGON to represent LGAs without direct mandates. The plaintiffs further alleged that they had not received any health centre constructions in their respective LGAs, despite the large deductions made from their allocations.
The CBN, in its defence, submitted an affidavit through its legal counsel in April 2025. The Bank maintained that the delays in the completion of the remaining 190 centres were directly linked to these lawsuits, mostly instigated by state governors and politically affiliated bodies. It accused the Governors’ Forum of using the courts to stall a project that had the potential to transform healthcare delivery at the grassroots level.
In response to the suit (registered as Suit No. FHC/ABJ/CS/1797/2024), the CBN has asked the Federal High Court in Abuja to dismiss the case, arguing that the plaintiffs lack the legal standing (locus standi) to sue, and have failed to show any specific injury or legal harm that justifies their claims. The court has set July 3, 2025, as the next date for hearing on the matter.
This development has sparked wider concern across Nigeria’s public health sector. The health centre project is regarded as a cornerstone in President Bola Tinubu’s broader national health revitalization agenda. In April 2025, the Tinubu administration announced plans to refurbish over 900 PHCs and upgrade an additional 2,700 across the country. The unfinished 190 centres from this legacy project now represent a critical gap in that plan.
Public health advocates and civil society organisations have expressed dismay that legal wrangling could derail such an essential infrastructure project. Many warn that continued delays will deprive rural and underserved communities of access to primary healthcare services, especially in areas already battling poor medical coverage, disease outbreaks, and high maternal and infant mortality rates.
At the heart of the issue is the longstanding tension between federal, state, and local government jurisdictions in Nigeria. The dispute underscores recurring constitutional questions about resource control, fiscal authority, and the boundaries of representative governance in local councils.
