Analysis of Accounting Reforms in the Public Sector of Pakistan and Adoption of Cash Basis IPSAS

Miraj Javed,Wang Zhuquan

doi:10.13189/ujaf.2018.060203

Abstract

Analysis of Accounting Reforms in the Public Sector of Pakistan and Adoption of Cash Basis IPSAS

Highlights

Public sector accounting has become an important global topic in recent years
This study describes the accounting reforms adopted in public sector implementation and compares the financial reports of the Government of Pakistan (GOP) with cash basis International Public Sector Accounting Standards (IPSAS) and IPSAS-2
This study shows that the financial reports of GOP broadly comply with cash basis IPSAS and IPSAS-2 cash flow management

Summary

Introduction

Public sector accounting has become an important global topic in recent years. The effect of public sector accounting on public financial management and accountability has significantly influenced the socio economic development of the country. Public sector accounting is a key factor to the growth of a nation, and recent advances in the field of accounting show that public sector accounting and financial reporting reforms are useful if adopted in all government levels [9]. Numerous countries have begun to realize the importance of good financial management in public sector entities, especially after the emerging of international accounting standards, many countries and some intergovernmental organizations adopted IPSAS because it considers the best practices and alternative reforms for government entities in evaluating financial reports. This study describes the accounting reforms adopted in public sector implementation and compares the financial reports of the GOP with cash basis IPSAS and IPSAS-2.

Objectives

Methods

Discussion

Conclusion