Factors influencing implementation of accrual based international public sector accounting standards in Tanzanian local government authorities
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Date
2019
Journal Title
Journal ISSN
Volume Title
Publisher
Asian Journal of Economics, Business and Accounting
Abstract
This research examined the factors influencing the implementation of accrual-based International Public Sector Accounting Standards (IPSAS) in the Tanzanian Local Government Authorities (LGAs). The study adopted a survey design. Based on extant literature, a structured questionnaire
was developed. Then a drop-and-pick method was employed to administer the survey instrument to accountants and auditors from the LGAs in Tanzania. We successfully obtained 150 useful responses and applied factor analysis to determine the factors followed by multiple regression
analysis. According to the factor analysis performed, 15 factors were identified as the factors influencing the implementation of accrual-based IPSAS. Such factors include staff experience, understanding, and skills, in-house training necessity, involvement of professional accountants with high ethical conduct and hope for future business opportunities including attraction of development partners. The study also examined how the identified factors affect the implementation of accrual-based IPSAS in the LGAs. Our findings show that staff experience, in-house training necessity,
understanding and skills, involvement of professional accountants and publication of financial statements with standardized format; significantly influence implementation of accrual-based IPSAS in the LGAs. Other factors like sanctions by regulatory authorities, pressure from development
partners and adequate implementation policies were also reported to have significant impact. Since this research involved 7 LGAs out of 185 found in Tanzania Mainland, we recommend further studies to take into account the rest of the LGAs in Tanzania and abroad.
Description
This work was carried out in collaboration between both authors. Author CKM designed the study, performed the statistical analysis, wrote the protocol and wrote the first draft of the manuscript. Author GVK managed the analyses of the study and literature searches. Both authors read and approved the
final manuscript.
Keywords
accrual-based and local government authorities, IPSAS implementation, International Public Sector Accounting Standards, Tanzanian Local Government Authorities, Accounting-cultural values, accrual-based IPSAS in the LGAs
Citation
APA