CANBERRA TO PORT MORESBY: GOVERNMENT ACCOUNTING AND BUDGETING FOR THE EARLY STAGES OF DEVOLUTION

Abstract

Abstract:This paper examines changes which have occurred in government accounting and budgeting from the antecedent system of Treasury control in the colonial era of The Territory of Papua and New Guinea to the contemporary system of Finance control in the Independent State of Papua New Guinea. An exposition is provided of existing and proposed governmental accounting and budgeting issues during the early stages of devolution for indigenous control. Although self‐government provided new legislation for government accounting and budgeting, the critical event in the formation of the present system was the Constitution which highlighted indigenous responsibility against a backdrop of national attainment criteria. The development of indigenous responsibility for the government accounting and budgeting system has been limited by: (i) overreliance on an expatriate model, and (ii) a fundamental dearth of qualified accountants at the professional level in the public sector. In the longer term, however, cultural rather than administrative issues will tend to influence and guide policy in this area.