Accountancy in the local public sector : an evaluation

Abstract

The Maltese central government's accounting operations are evolving to embrace a new system of accounting. This revolution causes a ripple effect on the accountancy functions within government. The principal development should be the greater recognition of accountancy professionals, both in key accountancy functions within central government, and at departmental and ministerial levels. The introduction of the accountancy professionals in the public sector impinges favourably on the decision making process and in the achievement of governmental financial objectives. The accountancy profession provides adequate internal management information and external financial reports to effectively measure organisational performance in financial terms. Thus, well-managed public accountancy functions facilitate transparency, and bridge the gap between the entity, management and stakeholders. The dissertation evaluates the accountancy function engaged in public sector entities and identifies the drawbacks of performing optimal accountancy functions within the Maltese public sector.