The principal of leaving no one behind calls for innovation and adaptation of new financing systems in the implementation of SDGs. To address this, government of Uganda designed a fiscal decentralization policy which is premised to strengthen the process of decentralization in Uganda through increasing local governments’ autonomy, widening local participation in decision making and strengthening of fiscal transfer modalities to increase the efficiency and effectiveness of local governments to achieve development aspirations within a transparent and accountable framework. While the role of the national governments is crucial, decentralization and delegation of authority to make change to a more grassroots level ensures that the context of implementation, as well as local interests are taken into account, thus preventing possible failures and lags.The paper will generate a debate on the opportunities and challenges in financing the implementation of SDGs for effective service delivery at the local government level in Uganda. The essence for governments adopting fiscal decentralization is to ensure that no one is left behind which is in tandem with Agenda 2030 principle. In line with the Addis Ababa declaration action agenda on financing for SDGs, governments must become more innovative in the way they respond to implementation of SDGs. Local Governments have a mandate to deliver a wide range of services to citizens. These are as spelt out in the Addis Ababa action agenda, however, the need for equity in resource allocation is huge. Government of Uganda has embarked on reforms to finance Local Governments (LGs) to enable them to better deliver on their mandate. Among these is the 2015 reform of Inter-Governmental Fiscal Transfer program that focuses on three main objectives namely: restore adequacy in financing of decentralized service delivery; ensure equity in allocation of funds to LGs for service delivery; and improve efficiency of LGs in the delivery of services. This paper is important as it will generate a debate on opportunities and challenges in the implementation of SDGs ensuring no one is left behind.