Amman, (IINA) – After Jordanian cabinet approved a law to implement the International Public Sector Accounting Standards (IPSAS), Jordan became the first country in the region that implements these standards, Petra reported citing a top financial official.
Jordanian Finance Ministry Secretary General Ezzeddine Kanakrieh noted that his ministry prepared a gradual action plan for applying IPSAS, which depends on the transformation from cash basis accounting into accrual basis accounting system.
Kanakrieh explained that reforming the financial system came to improve the quality of the financial reports, boost transparency of government financial accounts in addition to strengthen oversight, accountability and simplify the process of decision making in a timely manner within the optimal use of financial resources .
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).
IPSAS aims to improve the quality of general purpose financial reporting by public sector entities, leading to better-informed assessments of the resource allocation decisions made by public entities, thereby increasing transparency and accountability.