Analysis of Financial Resource Allocation and Human Capacity Building in Local Government Councils of Ebonyi State

This study sought to ascertain the extent of co variation between financial resource allocation and human capacity building in Local Government Councils of Ebonyi state. This was necessary amidst generally perceived poor service delivery by the Local Government Councils, particularly in the area of human capacity building. Consequently, increase or decrease in Government expenditure might not have resulted in increase or decrease in human capacity building. Systems theory underpins the study. In order to achieve the objective of the study, Karl Pearson’s Product Moment correlation coefficient (r) was calculated to determine the strength of the relationship. Three research hypotheses were formulated. Secondary data for the study were extracted from local government councils’ audited project execution records from 1999 to 2014. Findings revealed that financial allocations to education, health and employment relate positively with human capacity building at 0.22, 0.64 and 0.94 degrees respectively. The study concluded that increase in funding of the local government system could lead to increase in human capacity building