The International Federation of Accountants
(IFAC) has issued a Policy Position Paper calling for enhanced
pubic sector financial transparency and accountability.
The paper, Public Sector Financial
Management Transparency and Accountability: The Use of
International Public Sector Accounting Standards, promotes the
use of accrual-based accounting through the adoption and
implementation of Internal Public Sector Accounting Standards
(IPSASs).
This set of standards allows for enhanced
monitoring of government debt and liabilities and is issued by the
International Public Sector Accounting Standards Board, an
independent standard-setting board supported by IFAC.
The institute’s chief executive Ian Ball said
following the sovereign debt crisis governments around the world
must collectively embrace high-quality and uniform accrual-based
standards for financial reporting in order to protect the interests
of both investors and citizens.
