FAAC to harmonise accounting standards next year
THE
Federation Account Allocation Committee (FAAC) sub-committee on the
roadmap for the adoption of the International Public Sector Accounting
Standards (IPSAS) in the country has promised to harmonise the budgetary
system of the three tiers of government before the end of 2013.
Secretary to the FAAC sub-committee on IPSAS, James Nongo, who spoke in Ibadan, at a two-day sensitization workshop for stakeholders in the South-West zone stated that the harmonisation process will be achieved through a uniform chart of accounts system for the three tiers.
He said it will be followed after due approval by relevant stakeholders involved in budgetary and financial management in the three tiers of government.
The workshop for the zone is the fourth in the series of programmes organised by the FAAC sub-committee for the six geo-political zones as part of strategies to get the buy-in of key players for the adoption of the new accounting standards.
The Accountant General of the Federation (AGF) Jonah Otunla, who declared the workshop opened noted that government is presently taking concrete steps to ensure that all general purpose financial statements of the three tiers of government become compliant to the provision of IPSAS before the end of 2012.
Otunla stated that the workshop titled, “the adoption of IPSAS in Nigeria-the role of stakeholders” was carefully selected to get the buy-in of political office holders and professionals needed to achieved the process.
According to him, the Federal Executive Council FEC had approved at its meeting of July 28, 2010, that Nigeria adopt the provisions of the International Financial Reporting Standards (IFRS) and IPSAS for the private and public sectors respectively.
“Consequently, the Federation Account Allocation Committee (FAAC) at its meeting held on June 13, 2011 set up a Sub-committee to provide a roadmap for the adoption of IPSAS in the three tiers of government in Nigeria.
“This interactive workshop in Ibadan which is for the South-West zone has already been held in Kaduna for North-West, Enugu for South-East and Port Harcourt for the South-South,” hinting that others will be held in Bauchi for the North-East and Abuja for the North-Central before the end of September this year.
Stakeholders, who spoke at the event agreed that the decision by the Federal Government to adopt the new accounting standard was a mile stone that should be encouraged by political players in the three tiers of government in terms of providing the will power for its success.
The FAAC sub-committee has its terms of reference to include ensuring that officers involved in finance and accounts functions understand the core requirement of IPSAS; and adequate coverage of all stakeholders in the distribution of the document and tackling gaps noted in the financial statements of the three tiers in order to ensure that they are bridged.
Its membership comprise of Accountants General of Borno State representing the North-East, Sokoto for North-West, Kwara representing North-Central, Enugu for South-East, Ogun for South-West and Akwa Ibom for South-South.
The membership also includes the chairman, forum of Auditors-General for Local Government Council of Nigeria, representative of the Financial Reporting Council of Nigeria and the Consolidated Accounts Department of the Accountant General of the Federation.
Secretary to the FAAC sub-committee on IPSAS, James Nongo, who spoke in Ibadan, at a two-day sensitization workshop for stakeholders in the South-West zone stated that the harmonisation process will be achieved through a uniform chart of accounts system for the three tiers.
He said it will be followed after due approval by relevant stakeholders involved in budgetary and financial management in the three tiers of government.
The workshop for the zone is the fourth in the series of programmes organised by the FAAC sub-committee for the six geo-political zones as part of strategies to get the buy-in of key players for the adoption of the new accounting standards.
The Accountant General of the Federation (AGF) Jonah Otunla, who declared the workshop opened noted that government is presently taking concrete steps to ensure that all general purpose financial statements of the three tiers of government become compliant to the provision of IPSAS before the end of 2012.
Otunla stated that the workshop titled, “the adoption of IPSAS in Nigeria-the role of stakeholders” was carefully selected to get the buy-in of political office holders and professionals needed to achieved the process.
According to him, the Federal Executive Council FEC had approved at its meeting of July 28, 2010, that Nigeria adopt the provisions of the International Financial Reporting Standards (IFRS) and IPSAS for the private and public sectors respectively.
“Consequently, the Federation Account Allocation Committee (FAAC) at its meeting held on June 13, 2011 set up a Sub-committee to provide a roadmap for the adoption of IPSAS in the three tiers of government in Nigeria.
“This interactive workshop in Ibadan which is for the South-West zone has already been held in Kaduna for North-West, Enugu for South-East and Port Harcourt for the South-South,” hinting that others will be held in Bauchi for the North-East and Abuja for the North-Central before the end of September this year.
Stakeholders, who spoke at the event agreed that the decision by the Federal Government to adopt the new accounting standard was a mile stone that should be encouraged by political players in the three tiers of government in terms of providing the will power for its success.
The FAAC sub-committee has its terms of reference to include ensuring that officers involved in finance and accounts functions understand the core requirement of IPSAS; and adequate coverage of all stakeholders in the distribution of the document and tackling gaps noted in the financial statements of the three tiers in order to ensure that they are bridged.
Its membership comprise of Accountants General of Borno State representing the North-East, Sokoto for North-West, Kwara representing North-Central, Enugu for South-East, Ogun for South-West and Akwa Ibom for South-South.
The membership also includes the chairman, forum of Auditors-General for Local Government Council of Nigeria, representative of the Financial Reporting Council of Nigeria and the Consolidated Accounts Department of the Accountant General of the Federation.
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