CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

In recent times, there have been persistent calls for greater transparency and

disclosure of financial information among countries of the world in a bid to raise

the level of public confidence in financial reports. An upsurge in cross-border

activities have led to an increase in international transactions among countries of

the world which necessitated the need for increased collaboration and commerce

across different geographical zones (Ijeoma & Oghogbomeh, 2014). Due to this

development, there is now emphasis on the need for increased transparency,

uniformity and comparability in the set of accounting standards guiding the

preparation of financial statement for public entities. The essence of these

accounting standards is to make public entities’ financial statements more relevant.

Public sector refers to the segment of a country’s economic agents whose activities

are managed, on behalf of the public, by government-appointed individuals (Acho,

2014). It includes all corporations which are established, run and financed by

government on behalf of the public (Adams, 2010). The Board of Public Entities or

Corporations are appointed by the government to oversee the activities of the

management of these entities. However, the regulation of the accounting standards

of public sector entities is vested on the International Public Sector Accounting

Standards Boards (IPSASB) with the exception of Government Business

Enterprises (Heald, 2003).

International Public Sector Accounting Standards Board (IPSASB) issued a set of

accounting standards called International Public Sector Accounting Standards

(IPSAS) to regulate government accounting in response to calls for greater

government financial accountability, transparency and value relevance. IPSAS are

recognized and accepted by international bodies such as the UN, World Bank,

IFAC etc. Countries are therefore encouraged to align their national accounting

standards with IPSAS so as to conform to international best practices. IPSAS in

recent times has drawn the attention of government regulators, policy-makers,

practitioners and academic alike (Kanellos & Evangelos, 2003).

1.2 Statement of the Problem

Many developing countries, particularly in Sub-Saharan Africa, are characterized

by massive corruption, poverty and high level of opacity in the conduct of

government business. For instance, Transparency International (2015) ranked

Nigeria 136 out of 175 countries on corruption perception index based on their

perception of public sector transparency and accountability. Poor budget

implementation and lack of accountability in the Nigerian public sector are

identified as contributory factors (Ibanuchuka & James, 2014). This paper seeks to

examine the impact of international public sector accounting standards (IPSAS) on

budget in Nigeria with a particular reference to Enugu State Ministry of Finance.

1.3 Objectives of the Study

The broad objective of the study is to evaluate the impact of IPSAS on budget in

Nigeria with reference to Enugu State Ministry of Finance. The specific objectives

of the study are to:

i. To examine the role of IPSAS adoption on the financial planning in the

Enugu State Ministry of Finance

ii. Determine the impact of IPSAS adoption on corruption reduction in the

Enugu State Ministry of Finance

iii. Examine the effect of IPSAS adoption on transparency and accountability in

the Enugu State Ministry of Finance.

1.4 Research Questions

The following research questions were provided for the study:

i. What is the role of IPSAS adoption on the financial planning in the Enugu

State Ministry of Finance?

ii. What is the impact of IPSAS adoption on corruption reduction in the Enugu

State Ministry of Finance?

iii. What is the effect of IPSAS adoption on transparency and accountability in

the Enugu State Ministry of Finance

1.5 Significance of the Study

The adoption of IPSAS concern very important matter because it improves the

capacity of governments to provide the legislative bodies, citizens, media and other

stakeholders with understandable, relevant, reliable, and comparable financial

statements; this study therefore will improve the quality of financial accountability,

governance and financial reporting in Public Sector. In addition, this study would

improve the public financial management and decision-making of the government

by making Government accounting more transparent and improving its governance

framework. The study would provide chronological history of the adoption path of

IPSAS in Nigeria, thus providing the historical perspective of IPSAS adoption in

Nigeria.

The study will also serve as a reference material for the individuals who have the

desire to perform further research.

1.6 Scope of the Study

This study is being conducted to examine the impact of international public sector

accounting standard (IPSAS) on budget in Nigeria. The study therefore is centered

on Enugu State Ministry of Finance.

1.7 Limitations of the Study

FINANCE: The economic turndown coupled with inflation has increasingly raised

the cost of materials. This led to the devaluation of Naira affecting every aspect of

the Nigerian economy. The impact of this on the study is enormous limiting visits

to the respondents and qualitative materials for conducting the study.

TIME: Time is another limiting factor which acted as a snag to the completion of

the project, though lengthy period was given for the submission of the work but

considering the academic pressure coupled with the writing of the project made

things not too really easy for the research.

However, time and financial constraints are the most impactful limitation to the

study. Finally, despite all limitations and constraints, the research contained the

necessary relevant resource material and to- date data obtained, analysed and

provided in the work.

1.8 Definition of Terms

IPSAS: International Public Sector Accounting Standards (IPSAS) are a set of

accounting standards issued by the IPSAS Board for use by public sector entities

around the world in the preparation of financial statements. These standards are

based on International Financial Reporting Standards (IFRS) issued by the

International Accounting Standards Board (IASB).

Public Sector: public sector is a portion of the economy composed of all levels of

government and government-controlled enterprises. It does not include private

companies, voluntary organizations, and households.

Budget: A budget is an estimation of revenue and expenses over a specified future

period of time and is usually compiled and re-evaluated on a periodic basis.

 CHAPTER TWO

LITERATURE REVIEW

2.1 Conceptual Framework

2.1.1 International Public Sector Accounting Standards (IPSAS)

According to Nweze (2013), Public Sector Accounting is defined as a process of

recording, summarizing, analyzing, communicating and interpreting financial

transactions of government units and agencies. It reflects all levels of transactions,

involving the receipt, custody and disbursement of government funds. It follows

therefore that public sector accountings is essentially, financial accounting.

International Public Sector Accounting Standards are a set of accounting standards

issued by the International Public Sector Accounting Standards Board for use by

public sector entities around the world in the preparation of financial statements

(Akinleye and Alaran-Ajewole, 2018). International Public Sector Accounting

Standards are the guidelines which specify the presentation of annual General

Purpose Financial Statements of public sector reporting entities other than

Government Business Enterprises. The International Public Sector Accounting

Standards based on two systems of accounting. These are accrual system and cash

basis accounting. The embracing of International Public Sector Accounting

Standards has some usefulness purposes such as demonstrate the correctness and
reasonableness of transactions and their agreement with established rules; give

evidence of accountability for the stewardship of government resources; make

available vital information for good control and prudent management of

government activities, contributing to the improvement of evaluation of financial

performance as the financial statements will reflect all expenditures and incomes,

providing evidence on whether revenue streams are suitable to meet short and long

term liabilities; making comprehensive information relating to expenditure

available which can assist in will help in knowing the cost implications of policies

and enabling comparison with substitute policies; determining the future

sustainability of programmes, liquidity position and comprehensive information on

the financial position of government at the end of the financial year; and improving

good governance (Okoye and Ani, 2004; Duenya, Upaa and Tsegba, 2017). The

accrual basis of accounting consists of the statement of financial position; the

statement of financial performance; the statement of changes in net assets/equity;

the cash flow statement; and accounting policies and notes to the financial

statements. The cash basis of accounting is the system of recording receipt or

income when actual cash is been received, and recording expenditure when actual

payment is made irrespective of the accounting period in which the services are

rendered or benefits received (Benito, Brusca and Montesinos, 2007).

2.1.2 Nigerian Public Sector and IPSAS Adoption

IPSAS are a set of accounting standards issued by the IPSASB for use by public

sector entities around the world in the preparation of financial statements (IPSAS

Handbook, 2015). The accrual IPSAS is based on International Financial Reporting

Standards (IFRS) issued by the International Accounting Standard Board (IASB)

where the requirements of those standards are applicable to the public sector. They

also deal with public sector specific financial reporting issues that are not dealt

with in IFRS.

The Federal Executive Council (FEC) in Nigeria approved the roadmap for the

adoption of IFRS and IPSAS for both private and public sectors respectively in

July, 2010. The primary aim of this adoption is to enhance and strengthen the

country’s financing reporting standards in line with international best practice

(Otunla, 2012). A sub-committee was set up in June, 2013 by Federal Account

Allocation Committee (FAAC) to work out a blueprint for the implementation of

IPSAS in the three tiers of government. PricewaterhouseCoopers (2012) posits that

the objective of IPSAS adoption is to ensure that public interest is served and

protected by developing high quality public sector financial reporting standards

and by ensuring the convergence of both national and international standards,

thereby enhancing the quality, transparency and uniformity of financial reporting

throughout the world. All public entities are expected to start the implementation

of accrual IPSAS by January, 2014.

2.1.3 IPSAS Adoption and Quality of Financial Reporting

The public sector committee of International Federation of Accountants (IFAC)

developed IPSAS to guide government entities in the preparation of high quality

financial reports. IFAC encouraged public sector entities to adopt accrual basis of

accounting for their general-purpose financial statement so as to ensure uniformity

and comparability of financial reporting across countries (Udeh & Sopekan, 2015).

[Link] IPSAS Adoption and Accountability

The recent shift to accrual accounting was initiated by the developed countries as a

part of the public sector reform (Hassan, 2013). The annual financial statements

play a significant role in the accountability of governments to their citizens and

their elected representatives (Huges, 2013). The necessity is because the cash and

cash moderated-based accounting does not allow obtaining the necessary

information in order to provide better support for planning and managing resources

and more generally for the decision-making processes, allowing greater

accountability, even between different entities (Christiaens, Vanhee, Rossi &

Aversano, 2013).
Thus, the international public sector accounting standards (IPSAS) have become de

facto international benchmarks for evaluating government accounting practices and

measuring accountability worldwide (Chan, 2008).

[Link] IPSAS Adoption and Transparency

Okolieaboh (2013) opines that IPSAS are set of public sector accounting standards

issued by the International Public Sector Accounting Standards Board (IPSASB).

The adoption of IPSAS is fashioned after International Financial Reporting

Standards (IFRS), their private sector predecessor; IPSAS seeks to promote

transparency in public sector financial reporting across jurisdictions. The

conceptual framework of IPSAS is similar to that of IFRS used in the private sector

to enhance transparency of operations.

[Link] IPSAS Adoption and Value Relevance

Ijeoma and Oghoghomeh (2014) assert that IPSAS adoption must be value relevant

to users of public sector financial statement such as international agencies,

taxpayers, members of parliaments, creditors, suppliers, public sector employees

and financial analyst. The essence of preparing financial statements in line with

IPSAS is that public entities must present financial position and financial

performance in such manner that users of those financial statements could make

relevant and timely value relevant decisions.

[Link] IPSAS Adoption and Comparability

Comparability of financial reports reflects the need for public sector entities to

have a uniform set of financial statements that is comparable to other public sector

of other nations (Okoh & Ohwoyibo (2010). This comparability of financial reports

places a greater demand for transparency and accountability on public officers who

manage the activities and transactions of the public corporations. This may further

enhance public-private partnership.

[Link] IPSAS Adoption and Full Representation

The adoption of IPSAS is expected to enhance full disclosure of financial

information which will serve the need of different users (Ozugbo, 2009).

According to Ozugbo, IPSAS adoption will eliminate partial disclosure of financial

information as is presently the case in most government entities. Full

representation will enhance the quality of financial reporting in terms of its

contents, relevance and international competitiveness.

2.1.4 IPSAS adoption towards corruption reduction

Over the years, citizens of some developing countries have been blaming and

accusing their leaders of mismanagement and diversion of public resources for

their personal gains. While some members of the public describe the ugly menace

as stealing, others term it corruption (Amaefule et al., 2014).

It was in this direction that Nweze (2013) observed that adoption and proper

implementation of IPSAS would create avenue for reduction in case of

manipulation of financial resources in the public sector since one of the objectives

of IPSASs is to engender transparency and accountability in the operation of public

entities. It was also added that full and proper implementation of IPSAS pave way

for Related Party Disclosure which by extension check cases of corruption through

effective, efficient, and transparent financial reporting in the public sector (Khan et

al., 2014).

Considering the fact that official corruption is a threat to government legitimacy

and authority and reduces the amount of public money available to fund public

services, adoption and implementation of IPSASs by the accounting profession are

giant steps in the global fight against government corruption (Chan, 2008).

2.2 Theoretical Framework

2.2.1 Institutional Theory

The institutional theory, propounded by DiMaggio and Powell (1983), considers

organizations as operating within a social framework of norms, values and

assumptions about what constitutes appropriate or acceptable economic behaviour

(Oliver, 1997). The basic assumptions about institutional theory include: (1)

adoption of structures and management practices that are considered legitimate by

other organizations in their fields, regardless of their actual usefulness: (2)

organizations responding to pressures from their institutional environments and

adopting structures/or procedures that are socially acceptable and appropriate

organizational choice; and (3) organizations conforming to predominant norms,

traditions and social influences in their internal and external environments which

will promote governments that gain support and legitimacy by conforming to

social pressures (Meyer and Rowan, (1977); DiMaggio and Powell, 1983; and

Scott, 1987). From the perspective of the public sector, legitimacy might be

pursued from other national governments, international organizations and groups

of interest (Baker and Morina, 2006). The institutional theory states that changes in

management practice or culture of an institution to new ones (e.g. from the

traditional cash accounting to accrual based IPSAS) do not occur primarily

because of the efficiency or usefulness of the new style adopted but as a result of

some institutional pressure. Three mechanisms through which institutional

isomorphic change takes place have been identified: (1) coercive isomorphism

which stems from external factors like international organizations dictating the use

of certain style of management to governments; (2) mimetic isomorphism which is

standard response to uncertainty and following the actions of perceived more

successful organizations; and (3) normative isomorphism which is associated with

professionalization and is concerned with cultural innovations to adopt new styles

that are considered superior to the one being used (DiMaggio and Powell, 1983),

The relevance of the institutional theory in this study is that changes in

organizational structures or style (such as accounting rule choice) do not occur

because of the benefits associated with the new style but such changes do occur as

a result of the three mechanisms posited above, that is coercive, mimetic, and

normative isomorphism.

2.2.2 Agency Theory

The agency theory which was promulgated by Jensen and Meckling (1976) is used

to provide a coherent explanation or rationale for International Public Sector

Accounting Standards adoption in any governance. The agency perspective

resonates from the separation of ownership and control in a modern corporation

and the fears that the interest of the owners (the principal) and agent (the

managers) may not cohere. Accordingly, the theory presumes tension between the

principal and the agent, thereby creating the demand for tension diffusion

mechanisms. The use of published financial statements is one of such mechanisms.

Baiman, (1982) cited in Duenya, Upaa and Tsegba (2017) provided an opinion of

the agency theory from the public sector perspective, arguing that, a government

official is elected or appointed to act on behalf of the public as an agent,

performing the work of directing and controlling resources on behalf of the public

(principal). The agency theory, therefore, calls for strong public accountability
between the agent and his principal which can be done through the use of a

comprehensive financial statement exemplified by IPSAS. Lenz (2012) has

construed public accountability as a function of the capabilities of principals to

judge the performance of their agents. The agency theory has proven to be a

flexible and useful approach for interpreting the effects of institutional

arrangements on accountability of public decision makers and public policy; it is

also presented in this study as core to the understanding of how IPS AS could

improve on accountability in public sector financial reporting.

2.3 Empirical Review

Mhaka (2014) conducted a cost-benefit analysis of IPSAS adoption in Zimbabwe

by a comparative study of the current cash accounting basis and the proposed

IPSAS based accounting reporting. The study reveals the challenges inherent in

cash-based accounting which will be resolved by the adoption of IPSAS-based

standards. He disclosed that the adoption of IPSAS would alter the basis for

financial reporting from prevailing cash accounting to IPSAS-based cash

accounting and accrual and finally to complete and total accrual based IPSAS. The

study maintains that this facilitates the reconciliation between budgeted and actual

results as it would be necessary to align the budget preparation to full accrual as

well as the enhancement of existing capacity, allowing reporting and comparison

of budget against actual results would also allow for improvement in resultsbased

budgeting.

Christiaens et al. (2013) examined the extent to which European governments

adopt IPSAS accrual accounting and how the differing levels of adoption can be

explained through the medium of a survey on related experts. They show that there

is no uniform method to the adoption process of IPSAS and accrual accounting as

well as some governments’ still use cash based accounting with a smaller fraction

applying IPSAS. The majority of local and central governments apply accrual

accounting disregarding IPSAS which can be explained by the need for

transparency and efficiency. The study disclosed that the main argument for the

usage of IPSAS is the fact that it offers uniqueness and specific know-how and

argues that the success of IPSAS strongly depends on setting out its strengths and

emphasising the necessary settings to be met.

Ijeoma and Oghoghomeh (2014) examined the expectations, benefits and

challenges of adoption of International Public Sector Accounting Standards

(IPSAS) in Nigeria. The study employed primary data and adopted the Chisquare

test, Kruskal Wallis test and descriptive analysis. The findings of the study reveal

that adoption of IPSAS is expected to increase the level of accountability and

transparency in public sector of Nigeria. It was found that the adoption of IPSAS

will enhance comparability and international best practices. Also, it was shown that
adoption of IPSAS based standards will enable the provision of more meaningful

information for decision makers and improve the quality of financial reporting

system in Nigeria.

Alshujairi (2014) conducted a survey to determine whether a developing country

like Iraq should adopt IPSAS as a means of improving the government accounting

system. The study used qualitative methodology through a questionnaire to obtain

required data with the survey result showing that a large number of respondents

think that the Iraqi government accounting system needs an important reform

citing the main reason as corruption. The result further emphasised the need to

improve the transparency, quality of accounting system and accountability of

government to citizens. Within this context, Iraqi government accounting should be

reformed through adoption of IPSAS because accrual accounting gives a better

financial integrity assurance compared to cash or modified cash based accounting.

Atuilik (2013) studied the relationship between the announcement of IPSAS

adoption and the perceived levels of corruption in the developing and developed

countries. The study employed quasi experimental research design where the

Corruption Perception Index (CPI) compiled by Transparency International was

used to measure perceptions of corruption. The study finds that the levels of

perception of corruption for developed countries that have announced IPSAS

adoption do not differ significantly from the levels of perceived corruption for the
developed countries that have not announced IPSAS adoption. For developing

economies, the result shows some degree of differences. He explained that the

governments of developed countries may not have expected the IPSAS adoption to

significantly enhance their ratings on corruption index while governments of

developing countries may likely expect an improvement in their ratings following

the adoption of IPSAS. This is line with the study of Alshujairi (2014) that

provides evidence that developing countries are greatly affected by corruption.

Trang (2012) carried out a similar study which examined whether or not the

Vietnamese government accounting should operate the IPSAS, and describes the

extent to which they can be applied within the existing setting in Vietnam. He

appraised the usefulness and feasibility of the IPSAS for the Vietnamese

government accounting and financial statements and advocates that the movement

in the accounting systems from cash to an accrual basis is usually an element of a

broader set of their reforms, those changes are increased in delegation, departments

are directed to provide a service for citizens rather than follow set rules, and there

is better transparency of public sector in terms of reporting and performance

measurement.

Udeh and Sopekan (2015) examined the adoption of IPSAS and quality of public

sector reporting. It was observed that IPSAS adoption is expected to improve the

level or quality of public sector financial reporting in Nigeria. The study affirms
that accrual-based IPSAS has the ability to improve financial reporting compared

to cash based accounting.

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Research Design

The research design used for this research work is descriptive design. A descriptive

design consist of a set of gathered data or information analyzed, summarized

and/or interpreted along certain line of thought for the pursuit of specific purpose

or study.

3.2 Area of the Study

This research work covers the Enugu State Ministry of Finance. Most of the data

used in this work were gathered from the Enugu State Ministry of Finance.

3.3 Population of the Study

Population means the whole body of items, objects, materials or people that fall

within a geographical location in which the researcher intends to investigate for his

or her study. That is the whole participant of the study. Therefore the target

population for this research includes the staff of the Enugu State Ministry of

Finance. The population comprises of 65 staff of Enugu State Ministry of Finance.

3.4 Sampling Method

The research sample for this study was determined by using Taro Yamane

formular. The sample size therefore was determined by using the formular

N
n = 1+ N ¿ ¿

Where,

n= sample size to be determined

N= Population (65)

1= Fixed Number Factor

e= margin of error usually 0.05%

N
n= 1+ N (e)²

n = 65

1 + 65(0.05)2

n = 65

1 + 0.1625

n = 65

1.1625

n = 55.9 ≈ 56
Therefore the sample size (n) = 56

3.5 Research instrumentation

The study is based on both primary and secondary data. The primary data involves

the use of questionnaires, oral interview, telephone conservation, observations etc.

The secondary data involves the use of textbooks, journals, magazines, newspaper

etc.

3.6 Validity and reliability of instrument

In order to ensure the validity of a research instrument, proper ensuring of

questionnaire and a conduct of a pretest of all the questions contained in the

questionnaire were carried out. The design of the questionnaire was also made for

respondents to tick their preferred choice from the options provided.

Reliability refers to the stability of the measurement used to study the relationships

between variables. The questions in the questionnaire were designed taking into

consideration the research questions on the subject. Thus the constructed

questionnaire was distributed by the researcher to the group of people different

from the pilot sample group but with the same characteristic, and after sometime

the copies of questionnaire were collected from the respondents and scored them.

Thus, the correct scoring was obtained again and again thereby proving the

reliability of the instrument.

3.7 Method of Data Collection

The research instrument for this study which was the questionnaire was self-

administered (person-to-person) by the researcher to 56 respondents. In effect, the

completed copies of the questionnaire were duly collected by the researcher. This

helped to avoid the loss of any copy of the questionnaire. Therefore, the total

number of questionnaire given out was the same retrieved. This method was

considered appropriate because it really enhanced the exercise, as it provided a

platform for the researcher to interact and provide further information about the

study to the respondents within the confines of research.

3.8 Method of Data Analysis

This research will make use of frequency table/percentages to analyze the

descriptive characteristics of the respondents.

 CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

The responses of the sample surveyed from the questionnaire used, and trust of

observation made from this study are summarized in tables as we progress.

This refers to the segregation of data into parts with relevant comments and best of

judgments. In other words, it means breaking down and putting in order, the

qualitative information gathered through the research exercise. It also involves

comparing and contrasting the events, patterns and relationships. As earlier stated

in chapter three, the data collected for this study are carefully analyzed in simple

percentage and tables. A total of 56 copies of questionnaire were issued to the

respondents and 50 copies were retrieved.

4.1 DATA PRESENTATION AND ANALYSIS

Table 1: Responses as to the Sex of Respondents

Sex Responses Percentage (%)

Male 22 44.0
Female 28 56.0
Total 50 100
 Source: Field Survey, 2021

From table 4.1 above, 22 respondents representing 44.0% were male, while 28

respondents representing 56.0% were female. It’s obvious here that greater

percentage of the respondents were female.

Table 2: Responses as to Marital Status

Marital Status Responses Percentage (%)

Single 27 54.0
Married 23 46.0
Total 50 100
Source: Field Survey, 2021

From table 4.2 above, 27 respondents representing 54.0% were single, while 23

respondents representing 46.0% were married. Thus a greater percentage of the

respondents were single compared to the married ones.

The following are the research questions and responses of the respondents:

RESEARCH QUESTION 1: RESPONDENTS RESPONSES ON THE ROLE

OF IPSAS ADOPTION ON THE FINANCIAL PLANNING IN THE ENUGU

STATE MINISTRY OF FINANCE

Table 3: Does IPSAS adoption play any significant role on the financial

planning in the Enugu State Ministry of Finance?

Category Distribution Percentage (%)

Yes 38 76.0
No 12 24.0
Total 50 100
Source: Field Survey, 2021

From the table above, 38 respondents representing 76.0% believed that IPSAS

adoption play significant role on the financial planning in the Enugu State

Ministry of Finance, while 12 respondents representing 24.0% disagreed.

RESEARCH QUESTION 2: RESPONDENTS RESPONSES ON THE

IMPACT OF IPSAS ADOPTION ON CORRUPTION REDUCTION IN

THE ENUGU STATE MINISTRY OF FINANCE

Table 5: Does IPSAS adoption reduce corruption in the Enugu State Ministry

of Finance?

Category Distribution Percentage (%)

Yes 30 60.0
No 20 40.0
Total 50 100
Source: Field Survey, 2021
From the above responses, 30 respondents representing 60.0% believed that the

adoption of IPSAS reduces corruption in the Enugu State Ministry of Finance,

while 20 respondents representing 40.0% disagreed.

RESEARCH QUESTION 3: RESPONDENTS RESPONSES ON THE

EFFECT OF IPSAS ADOPTION ON TRANSPARENCY AND

ACCOUNTABILITY IN THE ENUGU STATE MINISTRY OF FINANCE

Table 6: Does IPSAS adoption ensure transparency and accountability in the

Enugu State Ministry of Finance?

Category Distribution Percentage (%)

Yes 33 66.0
No 17 34.0
Total 50 100
Source: Field Survey, 2021

From the above data, 33 respondents representing 66.0% believed that IPSAS

adoption ensures transparency and accountability in the Enugu State Ministry of

Finance, while 17 respondents representing 34.0% disagreed.

4.2 Discussion of Findings

The various research questions as regards this study have been examined and the

findings for research question one showed that a greater percentage (76.0%) of the

respondents were of the opinion that the adoption of IPSAS play significant role

on the financial planning in the Enugu State Ministry of Finance.

In the research question two as to the impact of IPSAS adoption on corruption

reduction in the Enugu State Ministry of Finance, a greater percentage (60.0%) of

the respondents believed that the adoption of IPSAS ensures reduction of

corruption in the Enugu State Ministry of Finance.

In the research question three, the respondents’ responses on the effect of IPSAS

adoption on transparency and accountability in the Enugu State Ministry of

Finance showed that IPSAS ensures transparency and accountability in the Enugu

State Ministry of Finance.

CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1 Summary of Findings

From the responses gotten from the respondents, some interesting findings were

made.

Major findings revealed that:

1. The adoption of IPSAS play a significant role on the financial planning in

the Enugu State Ministry of Finance.

2. The adoption of IPSAS reduces corruption in the Enugu State Ministry of

Finance.

3. The adoption of IPSAS ensures transparency and accountability in the

Enugu State Ministry of Finance.

5.2 Conclusion

From the research carried out so far, the researcher was able to note that:

1. The International Public Sector Accounting Standards play a significant role

on the financial planning in the public sector in Nigeria.

2. The International Public Sector Accounting Standards reduces corruption in

the public sector in Nigeria.

3. The International Public Sector Accounting Standards ensures transparency

and accountability in the Enugu State Ministry of Finance.

5.3 Recommendations

Based on the findings of this study, it was thus recommended that:

i. Government at all levels should as a matter of necessity embark on

continuous training and retraining of accounting personnel who are charged

with the responsibilities of preparing the account in order to maintain and

sustain enhanced credibility of financial statements by the public sector

entities.

ii. The Federal Government should enact an enabling law to back up the

adoption and implementation of IPSAS and more importantly institute

appropriate sanctions to ensure full compliance.

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