Abstract
M.Com. (International Accounting)
Historically, governments have been reporting in terms of a cash basis of accounting. There is a widely accepted view that accrual based financial reports that are robust and transparent can improve the decision making and accountability of governments. However, there are contrasting views on the accrual based framework that is appropriate for financial reporting in the public sector. As a consequence, governments have either adopted GFS, IFRS, IPSAS, national accounting standards or continued with cash basis accounting.
The purpose of this limited-scope dissertation is to identify the perspectives of experts and senior officials that prepare financial reports in the Office of the Accountants-General in the public sector of the ESAAG region on the attributes that define the appropriate financial reporting framework for the public sector.
The limited-scope dissertation was conducted with a qualitative focus to allow the researcher to explore the feelings and reactions of the experts and senior officials on the appropriate financial reporting framework for the public sector. Fourteen (14) experts and senior officials in the region were interviewed. Interviews are the main method used by researchers to collect data on various perspectives and attitudes.
Three (3) overarching themes and ten (10) sub-themes emerged from the detailed thematic analysis of the interviews. Thematic analysis is the primary method used to analyse data collected from interviews. According to the detailed analysis of the interviews, an appropriate financial reporting framework for the public sector should:
• Reference the level of services delivered by governments to the financial reports;
• Reference the level of accountability and transparency of governments to the financial reports;
• Adopt the principles of accrual basis of accounting;..