ABSTRACT

 The lack of commitment to expenditure control has made budget ineffective and has given rise to non-existing and abandon projects which were adequately provided for in government budgets. The researcher has therefore decided to appraise the impact of effective budgeting on the performance of public organizations using Umuahia North L.G.A. as case study. The researcher collected primary data from the responses to the questionnaire administered to 60 staff of Umuahia North L.G.A. any adopting stratified Sampling technique I their selection the data collected were tabulated and analyzed using percentage analysis and one hypothesis was tested by using Chi-square (X2), the findings revealed that: Capital expenditure provided in the budget for rural development are not adequately funded and executed. Contracts for projects ire not properly evaluated and do not follow due process in Umuahia L.G.A Some of the Management staff are not aware of the existence of the financial policy of the L.G.A. The Internally generated revenue for the L.G.A. is not effectively monitored and controlled. Umuahia North L.G.A does not strictly adhere to its budgetary provisions. Therefore, the following recommendations are made:- Umuahia North L.G.A. should ensure that the developmental projects for the rural communities are adequately funded and executed and the contracts for the projects properly evaluated. Activities of the budget monitoring and control committee should be closely supervised by the Management to ensure effective collection of internally generated revenue and accountability. Umuahia North L.G.A. should tailor all expenditures in terms of the budgetary provisions and facilitate professional motivation through adequate remuneration to reduce fraudulent practices.