The International Public Sector Accounting Standards (IPSAS) are developed by the IPSAS Board (IPSASB), a non-UN entity. According to their publications, “The objective of the IPSASB is to serve the public interest by developing high-quality accounting standards and other publications for use by public sector entities around the world in the preparation of general purpose financial reports” .
Benefits of adopting IPSAS in any country may include:
- It eases auditing of public sector accounts since auditing complies with single accounting standard;
- It fosters stronger governance procedures and the framework for accounting practices in the public sector leading to overall improvement in the public financial management.
- It improves the quality and comparability of financial information reported by the public sector entities across the world
- It promotes transparency in the financial disclosure since stringent disclosure requirements need to be met
- It enhances consistency in the preparation and presentation of financial information in the public sector.