“… Successful and timely implementation of IPSAS in the State will ensure accurate financial reporting of all the laudable and land-marked projects…”
The need for implementation of IPSAS in the State cannot be over – emphasized. Apart from being used as an important tool in the promotion of Public Financial Management, transparency and inclusion in a globally acceptable manner, IPSAS also helps to facilitate the publication of both budget and financial reports of government entities prepared in conformity with international standards which are designed for completeness and comparability. But most importantly, the need for implementation of IPSAS is becoming more crucial and cardinal against the backdrop of the fact that it is now a major criterion
for states desirous of keying into the Federal Government’s fiscal sustainability program and foreign donor assistance.
For example, the eligibility criteria for year 2020 under the State Fiscal Transparency, Accountability and Sustainability (SFTAS) Programme for Results, sponsored by the World Bank, requires that State budgets approved by the State Assembly published online by end of January, 2021 are to be prepared under National Chart of Accounts, while audited financial statements are to be prepared in accordance with IPSAS, submitted to the State Assembly and published online by August, 2020. To meet this requirement, therefore the State Government has engaged PAACO-PCL Consortium, who have designed their modular IPSAS implementation approach, which divides the program into three segments cutting across the key elements of IPSAS, namely, Technology, System and people. Some of the key deliverables in the agreement include:
(i) 2014-2017 IPSAS cash – compliant Budget for Cross River State.
(ii) 2014-2017 IPSAS Cash – compliant General Purpose Financial Statements for Cross River State.
(iii) 2018 IPSAS Accrual – compliant Budget for Cross River State.
(iv) 2018 IPSAS Accrual – compliant General Purpose Financial Statements for Cross River State.
(v) Framework and Guidelines for Assets and Liabilities identification, Verification and Valuation Exercises.
(vi) Periodic Project Management Reports of Assets and Liabilities Identification, Verification and valuation Exercises.
With the bold steps taken by the State Government to engage PAACO-PCL Consortium to provide comprehensive modular IPSAS implementation support services to Cross River State Government, there is need for all hands to be on deck to ensure the realization of the objective of IPSAS which is to promote transparency, accountability and uniformity in financial reporting. the State IPSAS Steering Committee and Technical Implementation Committee should commence work immediately by holding regular meetings and effect close monitoring to ensure full and timely delivery of the project by the Consultant.
The successful and timely implementation of IPSAS in the State will ensure accurate financial reporting of all the laudable and land-marked projects embarked upon by the State Governor, Senator Prof. Ben Ayade and all other financial transactions in the State. Moreover, IPSAS implementation in the State will provide opportunity for the training of Accounting, Auditing and Budget staff both at the State and Local Government levels, thereby enhancing the acquisition of knowledge and improvement in the quality of our Financial Recording and Reporting that will guide accurate decision making by government.
Additionally, successful implementation of IPSAS in the state will bring Cross River State at par with IPSAS-compliant states thereby restoring our pride-of-place among the comity of states and attracting investors and foreign Donor Agencies to the State. We cannot afford to lack behind any longer