WorldStage Newsonline-- A new National Chart of Accounts has been designed to assist government to achieve the implementation of International Public Sector Accounting Standards (IPSAS) Cash by 2014 and International Public Sector Accounting Standards (IPSAS) Accrual Basis by 2016.
A statement from the Office of the Accountant General of the Federation (OAGF), said preparation of budget from 2014 fiscal year will henceforth be based on the new National Chart of Accounts.
it is a systematic list of the Account used by an entity to define each class of items for which money or the equivalent is spent or received across the three tiers of Government.
The statement said this new arrangement "is to ensure uniformity in the management of Public Financial Management in Nigeria.
The Accountant –General of the Federation Mr. jonah Otunla while inaugurating the Implementation Committee on the application of IPSAS in the three tiers of government in Nigeria disclosed that "with the adoption of IPSAS, the Office of the Accountant-General of the Federation (OAGF), States Accountant-Generals and Directors of Finance and Accounts/Treasury at Local Government Councils are to commence the implementation of the provisions of IPSAS and keep their books of account in accordance with the new COA (Chart of Accounts) and the GPFS(General Purpose Financial Principles) formats."
He noted that "all those concerned should strictly comply with this. This will improve the quality of general purpose financial reporting by public sector entities, leading to better informed assessments of the resources allocation decisions made by governments, thereby increasing transparency and accountability."