The latest Policy Position Paper from the International Federation of Accountants (IFAC) renews its call for governments to apply accrual accounting principles in light of ongoing sovereign debt issues, and in particular, to adopt International Public Sector Accounting Standards (IPSASs).
IFAC Policy Position Paper 4, Public Sector Financial Management Transparency and Accountability: The Use of International Public Sector Accounting Standards, sets out IFAC’s view that governments around the world must provide clear and comprehensive information regarding the financial consequences of economic, political, and social decisions, in order to protect the public as well as investors in government bonds.