Implementation Of International Public Sector Accounting Standards Research Articles

Constraints and stimuli in the implementation of public accounting reform: systematic literature review and future research agenda

PurposeThe purpose of this study is to discuss the most relevant literature related to the adoption of International Public Sector Accounting Standards (IPSAS) in the public sector in developed and developing countries, identifying the constraints and stimuli they represent in the implementation of the public accounting reform. It also presents future research proposals on the factors identified.Design/methodology/approachThe methodology is based on a systematic review of the literature described by Moher et al. (2009). The final sample includes 90 academic papers published from 2000 to 2022.FindingsThe main findings indicate that there are differences between constraints and stimuli in the implementation of accounting standards between developed and developing countries. In terms of constraints, the main factor in developed countries is the lack of training, whereas in developing countries it is the limitation on financial resources. In addition, the results demonstrate that in developed countries the factors that most encourage the implementation of accounting standards are modernization and improvement of accounting, while in developing countries, encouragement comes mainly from external and internal pressure.Practical implicationsThis study helps countries and institutions to learn from experience and better prepare for the accounting reforms of public administration that they will undertake. Managers of public organizations may be willing to make decisions in the adoption of IPSAS if they take into account the factors established herein.Social implicationsThis study helps countries and institutions to learn from the experience, better prepare for the public administration accounting reforms that they will undertake and add greater transparency in the accountability of public accounts to citizens.Originality/valueIn addition to previous studies, this study addresses a number of factors perceived by those involved in the implementation of IPSAS in developed and developing countries and provides a robust research agenda to pursue during the coming years, as there are several important unexplored questions that invite further research.

The Realtionship Between International Public Sector Accounting Standards (IPSAS) and the Quality of Accounting Information in Libyan Government Sector

Purpose: The aim of this study was to determine the significance of using International Public Sector Accounting Standards (IPSAS) in impacting the quality of accounting information. Theoretical framework: Recent literature has revealed positive results in IPSAS and accounting information quality (Bakhtah & Ammar, 2019). However, because IPSAS is a relatively new product, there is still plenty to research and learn about it. Methodology: The study population included a number of board directors, non-audited members, internal auditors, accountants, and department heads from various branches of government in Libya's government sector. They were given 400 questionnaires, and the data was analysed using SPSS and PLS-SEM. Findings: The four independent factors (ensuring sound governance, disclosure, board of directors responsibilities, and shareholder rights preservation) had a substantial impact on the quality of accounting information among Libyan bank personnel. Research, Practical & Social implications: We propose a future research agenda and highlight contributions to knowledge, namely auditing literature and the quality of accounting information literature. Originality/value: The findings show that the adoption of IPSAS will have an effect on an external audit in Libya. IPSAS standardises external audit reports and has an impact on external audit notes. The implementation of IPSAS will result in the collaboration of Libyan audit firms with global audit firms to gain experience auditing IPSAS-prepared financial statements. This will improve the conclusions and knowledge of worldwide accounting standards of the external auditors.

A Study on International Public Sector Accounting Standards (IPSAS) and the Quality of Accounting Information in Libyan Government Sector

The purpose of this study was to investigate the influence of applying International Public Sector Accounting Standards (IPSAS) on accounting information quality. Recent research has found positive outcomes in IPSAS and accounting information quality (Bakhtah & Ammar, 2019). However, because IPSAS is a new product, there is still a lot to learn and explore about it. In Libya's government sector, the study population included a number of board directors, non-audited members, internal auditors, accountants, and department heads from various departments of government. They were given 400 questionnaires, and their responses were analysed with SPSS and PLS-SEM. The four independent criteria (ensuring good governance, disclosure, board of directors’ responsibilities, and the preservation of shareholder rights) had a significant impact on the quality of accounting information among Libyan bank workers. The authors suggest a future study agenda and highlight contributions to knowledge, namely auditing literature and accounting information quality literature. The findings indicate that the implementation of IPSAS will have an impact on an external audit in Libya. External audit reports are standardised by IPSAS, and external audit notes are influenced by it. Following the deployment of IPSAS, Libyan audit firms will collaborate with global audit firms to gain experience auditing IPSAS-prepared financial statements. This will strengthen the external auditors' judgments and knowledge of global accounting standards. Keywords: Governance, Disclosure, IPSAS, Government, Quality of information, Accounting

Culture, language, and accounting reform: a new perspective on IPSAS implementation

PurposeThis study aims to explore the role that culture and language play in the implementation of International Public Sector Accounting Standards (IPSAS).Design/methodology/approachThe Hofstede–Gray and Huerta et al. (2013) models were used to collect data on language and accounting culture. Paired-sample t-test, regression and factor analyses were conducted on data from a sample of 101 respondents. This study also used ordinary least squares to test hypotheses.FindingsThe cultural dimensions of professionalism, secrecy and uniformity significantly influence the implementation of IPSAS. Furthermore, this study finds a significant link between culture, language and IPSAS implementation, which underlines the need for careful consideration of International Public Sector Accounting Standards Board policies in the promotion of IPSAS internationally.Research limitations/implicationsWhile this study is limited to its research method, using secondary data would have been challenging given the setting and accessibility issues. This study overcomes this problem by using a self-administered questionnaire. Prior studies confirm the reliability of the constructs. Despite providing justifications for why the authors use judgemental sampling, the authors acknowledge the limitation of the technique in survey distribution. Furthermore, the findings cannot be read without caution, as the authors focused on one country. However, interactions between accounting practices and culture in one country may be transferred to other countries that share a common language and culture with Qatar. The authors believe future research in this area will complement the understanding of the determinants of IPSAS implementation should the study be replicated.Social implicationsPolicymakers, standard setters and regulators should promote and enforce an integrated approach that reflects the need for accountants and auditors to be conscious of the effects of culture and language, given the likelihood of widespread IPSAS adoption.Originality/valueThis study offers insight into the significance of culture and language in reforming public-sector accounting systems in developing nations and emerging economies.

The IPSAS implementation and the use and usefulness of accounting information: a comparative analysis in the Iberian Peninsula

PurposeThis paper aims to research the reforms toward International Public Sector Accounting Standards (IPSAS) implementation and the perceptions about the use and usefulness of accounting information in the context of local government in the Iberian Peninsula. The paper focuses on the perspective of chief financial officers (CFOs).Design/methodology/approachThe paper uses a mix of qualitative and quantitative methods. Beyond the study of the context of the reform in both countries through the consultation of legislation and official documents, the authors collected primary data through a survey addressed to the local CFO to catch both countries' perceptions and beliefs toward the topic under research.FindingsThe authors' findings evidence that both countries have made strong efforts to adapt IPSAS to both countries' national standards. The coercive and mimetic isomorphism and the private accounting normative were important determinants in the reform. Looking at perceptions, budget information continues to be perceived as the king information for public management and decision-making. In a comparative way, the Portuguese CFO seems to be more optimistic concerning the use and usefulness of the new accounting system. The strong orientation of CFO to cash-basis and budgeting information is an important explanation of the lower use and usefulness, essentially in the Spanish context. The regression results show that individual perceptions and beliefs on the accounting reform influence the opinion about the usefulness and use of financial information.Research limitations/implicationsThe use of the survey method has some limitations very discussed in the literature that are also applied in this study.Practical implicationsThe paper has the potential to contribute to the academic, political and practitioner discussion of the core purposes of financial accounting information in the public sector and financial accounting information's impacts on the European Public Sector Accounting Standards (EPSAS) framework.Originality/valueThe recent adoption of the new accounting system in local governments of both contexts contributes to knowledge on the public sector accounting reforms toward the transition to accrual accounting and the IPSAS. The innovative character of the paper contributes to better clarify how the perceptions of the accounting reform influence the usage level of public financial information.

International Public Sector Accounting Standards (IPSAS) Implementation and Financial Reporting: Issues and Challenges in South-East Nigeria

The main objective of the study was to identify the challenges of IPSAS implementation in the Nigerian Public Sector. This was as a result of low level of accountability and improper application of accounting standards by government institutions. A structured questionnaire was used to elicit information from the various respondents. The population of the study consists of accountants, auditors and cash officers in government ministries, departments and agencies in Abia, Anambra, Enugu, Ebonyi and Imo States. The population was estimated at 8901for the five States. The sample size of 387 was drawn using the stratified sampling technique. The Analysis of Variance (ANOVA) was used for the hypothesis test. The results showed that the challenges that impinge the full implementation of IPSAS in Nigeria include: governments’ unwillingness in terms of political-will towards full IPSAS implementation; statutory adjustment, inadequate funding and institutional commitment among others. It was therefore recommended that there should be adequate funding for the IPSAS implementation projects as most of the Public Sector Entities attributed inability to implement IPSAS Accrual to paucity of funds. Government should also show more political will as well as commitment and support for the accrual basis IPSAS implementation at the Local Government level.

Higher education in the IPSAS implementation process: A comparative study between Brazil and Mexico

The Brazil and Mexico started their International Public Sector Accounting Standards (IPSAS) IPSAS adoption strategies in 2008 and consider the importance of the accountant role in this process and the existence of specific undergraduate Accounting programmes in the two countries. This study aims to compare the offer of courses about public sector accounting in public institutions of higher education in these countries during year 2018 & 2019, under Institutional Theory perspective. The methodology of this article consists of a documentary analysis of the curricula in force of website of the Public Institutions of Higher Education (PIHE) of each federative entity of Brazil and Mexico. The results show great diversity in the offer of disciplines among the 76 Brazilian and in the 39 Mexican institutions, with an average of only 3 and 1,3 courses by each country respectively. In Brazil, every institution has at least one mandatory Public Sector Accounting discipline, whilst only 28 Mexican institutions offer as obligatory. If institutional legitimacy consider education in Mexican and Brazilian IPSAS adoption strategies, the diffusion of IPSAS accrual accounting information will account for a huge network of more than 1000 of people involved. Furthermore, it highlights the weakness of the public sector approach to develop professional skills (normative isomorphism) in line with emerging trends in Public Sector Accounting for transparency. This article contributes to show what has been considered from the perspective of higher education of future public sector accounting professionals aligned with the IPSAS adoption strategies that involve Brazil and Mexico.

“Does your walk match your talk?” Analyzing IPSASs diffusion in developing and developed countries

Purpose The purpose of this paper is to provide a global overview of the adoption status of International Public Sector Accounting Standards (IPSASs) in the different contexts of developed and developing countries on central government level, particularly delineating key reform issues and attempts to overcome these. Design/methodology/approach Drawing on an analytical framework that combines neo-institutional theory with diffusion theory, prior research and official documents were re-analysed. Findings There are substantial differences regarding whether countries acknowledge having experienced large implementation challenges and the extent to which the reform benefits have been achieved. The study sheds light on the (institutional) underpinnings of these differences. Research limitations/implications First, the analysis could be extended to regional and local governments, as well as social funds. Both qualitative and quantitative strategies are suggested. Second, the implementation of the conceptual framework deserves further attention. Third, further research should more thoroughly scrutinise cost-benefit analyses used for justifying the (non)implementation of IPSASs, and in particular the assumptions that are being made in such analyses. Practical implications The paper informs policymakers and standard setters by delineating the areas and issues complicating the widespread adoption of IPSASs across countries, including pointing out directions to overcome these. Social implications Substantial amounts of public money are invested internationally to converge accounting standards and translate them into native languages. A close(r) monitoring is needed to ensure that these efforts obtain sufficient value for money. Originality/value This study is original as it applies an analytical framework that combines neo-institutional theory and diffusion theory to examine public sector accounting convergence issues internationally. Such an approach explicitly puts a focus on decoupling between reform “talk” (decision) and “walk” (implementation) and helps to analyse the reasons for this decoupling.

International Public Sector Accounting Standards (IPSAS) Adoption and Implementation in Nigerian Public Sector

This study evaluated the relationship between IPSAS adoption and financial reporting quality in South West, Nigeria. Specifically, it analysed the effect of IPSAS adoption on credibility and comparability of financial statements. Additionally; salient factors influencing IPSAS implementation were investigated. Primary data collected from one hundred and eighty accountants in South West Nigeria were analysed using tabulation, graphs, factor analysis, and Goodman and Kruskal’s gamma statistics.The empirical results indicated that IPSAS adoption exerted significant and positive relationships with financial reporting quality, credibility and comparability of financial statements. Decisively, discoveries from this study reflect that implementation cost, staff training, technological factor, IPSAS knowledge and awareness and availability of expertise significantly affect IPSAS implementation. However, findings further revealed that IPSAS implementation is not significantly influenced by institutional commitment, cultural, sociological, legal, political and environmental factors. Based on these findings, the authors recommend that considerable amount of money should be set aside for full adoption and implementation of IPSAS in Nigeria.

Governmental Financial Reporting Reforms and Relationship Marketing: An Analysis of International Public Sector Accounting Standards Implementation

This study aims to investigate the effect of the implementation of International Public Sector Accounting Standards (IPSASs) on corruption. This study utilizes a primary data approach based on survey design. The study uses a sample of 255 accountants and auditors in the Nigerian public sector. Multivariate regression analysis r is performed on data gathered from the field of study. The study finds that the implementation of IPSASs significantly affects transparency and accountability favorably at .05 level of significance. The analysis of the result based on the doctrine of Oli–eclectic paradigm, agency and culture theories indicates that improved transparency and accountability in the public sector will enhance relationship marketing.

Impact Of International Public Sector Accounting Standards Adoption On Accountability In Public Sector Financial Reporting In Nigeria

This study examined the effect of adopting International Public Sector Accounting Standards (IPSAS) on accountability in public sector financial reporting in Nigeria, using the perceptions of accounting personnel (AP), academics (AA, and auditors (AU). A sample of 130 respondents was drawn from a population of 193 AU, AP, and AA within Benue State. The Chi- Square goodness of fit test, Kruskal Wallis H test, Mann-Whitney U test, and Cohen effect size were used in data analysis. The study found that IPSAS adoption in Nigeria would improve accountability and decision making in the public sector. The study also found that significant differences existed between AP, AA and AU on the effect of IPSAS adoption on Nigeria’s public sector financial accountability. The study, therefore, recommended that the Federal Government should not relent towards IPSAS implementation in Nigeria since they would enhance accountability and decision making. Furthermore, concerted efforts should be made by the federal, state and local governments to educate the populace on what IPSAS entails in terms of financial accountability in the public sector.

Ocena możliwości implementacji standardów IPSAS do systemu rachunkowości podmiotów sektora publicznego w Polsce

Ocena możliwości implementacji standardów IPSAS do systemu rachunkowości podmiotów sektora publicznego w Polsce In recent years, there has been a noticeable increase in activity in the field of standardization of public sector accounting, which has an international scope and takes the form of the International Public Sector Accounting Standards (IPSAS). It has been planned that the EU Member States, and consequently Poland, will implement obligatory uniform accounting standards in the public sector – EPSAS – which are to be largely based on the content of IPSAS. The purpose of this paper is to assess the possibilities and factors of IPSAS implementation in the accounting system of public finance sector entities in Poland in relation to the currently applicable accounting regulations and the intelligibility criterion for potential users. The assessment was carried out based on a study of the foreign and domestic literature and existing legislation, while for the conclusions, the deductive and synthetic methods were used. The paper demonstrates that despite the relatively long period of operation of IPSAS, their level of implementation into the accounting system of public sector entities in Poland is negligible. The same applies to the works on the European standards, EPSAS, which have been significantly delayed in relation to the original assumptions. Knowledge of international standards is weak, and consequently their dissemination too. In spite of IPSAS implementation problems, there are still a number of reasons for their use. One of the arguments in favor of introducing uniform standards on the European market is the fact that the common market is in operation, and another one is the strong embedding of the need to consolidate the public sector’s international financial data at the central level of the Community. The conducted research confirmed the possibility of implementing IPSAS into Polish public sector entities’ accounting systems. However, that process should be connected with training and educational activities in the topic of IPSAS, and it is recommended that an authorized translation of IPSAS be made into Polish.