Improving the Financial Reporting Quality of Local Government in Plateau State through Expert Implementation of Public and Accounting Policies: A Focus on IPSAS

Dr. Saidu Abubakar; Dr. Yohanna G. Jugu; Dr. Otubor, Christopher Osega

Authors

Dr. Saidu Abubakar Department of Accounting, Abubakar Tafawa Balewa University, Bauchi, Bauxhi State, Nigeria Author
Dr. Yohanna G. Jugu Department of Accounting, University of Jos, Plateau State, Nigeria. Author
Dr. Otubor, Christopher Osega Department of Banking & Finance, University of Jos, Plateau State, Nigeria. Author

Abstract

The poor financial reporting quality of government accounts calls for urgent attention of researchers, this study hereby focused on improving the financial reporting quality of local government in plateau state through expert implementation of public and accounting policies: a focus on IPSAS. The objectives of this study are to ascertain the difference in financial reporting quality before and after the adoption of IPSAS and determine how expert implementation of public and accounting policies enhances timeliness, comparability and understandability of financial statements of LG in Plateau state. This study employed survey, ex post facto and exploratory research design. Independent t-test and logit binary regression model was employed to analysis the hypotheses of the study. This study revealed that before and after the adoption of IPSAS, the financial statements of local governments are not fully comparable, timely and understandable, however, if experts are engaged, the financial reporting quality in respect to timeliness, comparability, and understandability will be enhanced significantly. Arisen from the findings of the study, the study recommended that all the local government councils in Plateau state and in extension the entire nation, should strictly adhere to all the guideline as provided by the standard; efforts should be put in place by ensuring that the 80% contribution of IPSAS to financial reporting quality is attained. This will be made possible if experts are engaged in training and retraining of personnel that are responsible for the preparation of accounts. To enhance timeliness of accounts, auditor general should ensure prompt audit and signage of final accounts.