Abstract
This study examined the intricacies and dynamics of local government autonomy under the 1999 Constitution of the Federal Republic of Nigeria as amended in 2021, with particular emphasis on its constitutional status as the third tier of government. The study was anchored on Institutional Theory, which explains how formal constitutional rules and institutional practices influence governance outcomes and the realization of local government autonomy. A qualitative research design was adopted, relying exclusively on secondary sources of data obtained from textbooks, peer-reviewed journal articles, constitutional provisions, government publications, policy documents, and other relevant scholarly materials. Data were analyzed using the content analysis method. The findings revealed that although the 1999 Constitution (as amended in 2021) recognizes local government as the third tier of government and guarantees democratically elected local government councils, constitutional ambiguities, particularly regarding financial administration, continue to undermine genuine autonomy. The study concluded that despite constitutional recognition, local government autonomy in Nigeria remains largely constrained by legal, political, administrative, and financial challenges that limit effective grassroots governance and service delivery. The study therefore recommended further constitutional amendments to eliminate provisions that weaken local government autonomy, stronger political commitment to the implementation of constitutional provisions through direct financial allocation and democratic local government elections, and the strengthening of accountability mechanisms to minimize state interference, combat corruption, and promote effective grassroots governance.