Fight against corruption: Stakeholders express confidence on IPSAS Accrual Basis of Accounting

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By Kennedy Dimaku:
Stakeholders in public finance management have expressed confidence
that the implementation of International   Public Sector Accounting
Standards (IPSAS) Accrual Basis of Accounting would give boast to
fight against corruption campaign of President Mohammadu Buhari led
Federal Government.
In a workshop organized by the FAAC Sub- committee on IPSAS
Implementation for public finance managers from the three levels of
government (local, state and federal) with theme: “Implementation of
IPSAS Accrual Basis of Accounting in Nigeria: A tool to promote
transparency and accountability, the Accountant General of the
Federation, Mr Ahmed Idris said that the IPSAS Accrual Basis of
Accounting would lead to more transparency and accountability in
accounting for government revenues, expenditures, assets and
liabilities; adding that it would assist government at all level to be
better positioned to make more informed decisions for effective
public service delivery.
The Accountant General who was represented by Director of Funds,  Mr
Salawu Zubairu said, “Let me state unequivocally that the Federal
Treasury is committed to supporting the present administration on the
change agenda and will at all-time provide the needed leadership in
the ongoing reforms of Public Financial Management(PFM) meant to
enhance transparency, accountability, sound decision  making and
reduce corruption”.
More so, a former Accountant General, Mr James Kayode Naiyeju noted
that Nigeria had embarked on IPSAS Cash Basis of Accounting but has
now transcend to Accrual Basis of Accounting which is in line with
global best practice, pointing   out that other African countries
such as Ghana, Kenya, etc, had adopted the innovation. He stated that
the benefits of implementation of Accrual Basis of Accounting are
enormous considering the fact that the electorate would know how the
funds accrued to their leader are expended.
Meanwhile, Auditor General of Benue State, Mr. Mkena Humbe noted that
Benue State government would not hesitate in keying in on the
implementation of Accrual Basis of Accounting   in the management of
the state funds.
However, Governor of Gombe State and former Accountant General, Mr.
Ibrahim Hassan Dankwanbo pointed out that implementation of IPSAS
Accrual Basis of Accounting by all levels of government in Nigeria
would make government financial operations more open than opaque.
In a paper titled “The role of IPSAS Accrual Basis of Accounting   on
Accountability & Transparency in Public Sector”, he stated that the
adoption of IPSAS would promote the implementation of Freedom of
Information Act (FOI).
According to him, “With implementation of Accrual accounting,
financial statements of public sector entities in Nigeria would be
comparable with others across the globe. The reports are comparable
within entities in the country. Also there is greater presentation of
information and management of assets and liabilities; this does not
exist with a cash basis presentation.” He said.

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