Developed as part of IFAC’s Accountability Now initiative, the Public Sector Financial Accountability Index is the first to give an accurate global picture of the quality of financial reporting.
In particular, the index shows the extent of accrual accounting and the adoption of International Public Sector Accounting Standards.
The index will be regularly updated on a country-by-country basis and in time expanded from a focus on central governments to include state and local governments.
IFAC chief executive Fayezul Choudhury said: “The Public Sector Financial Accountability Index will provide better insight into the extent of global public financial reporting reform, and stimulate further reform.”
Rob Whiteman, CIPFA chief executive, added: “High-quality accrual-based information that captures the entire picture of a government’s finances and its funding commitments, both now and in the future, is the foundation for strong public financial management.
“It strengthens economies and, most importantly, builds trust with citizens. CIPFA is proud to be supporting the development of this index, which we believe will be a relevant and timely contribution to global PFM reform.”
The Zurich University of Applied Sciences served as a knowledge partner on the project.
In the first instance, the index will draw on international research data, however, national standard setters will be invited to review and comment on the information held in the index. First data sets are expected to be available in November.