A Dissertation Report Submitted in Partial/Fulfillment of the Requirement for Award of Degree of Master of Science in Accounting and Finance (MSc.A & F) of Mzumbe University
This research examined the implementation of accrual-based IPSAS in the LGAs.
The study adopted a survey design. Based on extant literature, a structured
questionnaire was developed. Then a drop-and-pick method was employed to
administer the survey instrument to accountants and auditors from LGAs in Dodoma
region. We successfully obtained 150 useful responses and applied factor analysis to
determine the factors and multiple regression.
The first objective was to identify the factors which influence implementation of
accrual-based IPSAS in the LGAs. According to factor analysis performed, 15
factors were identified as the factors influencing implementation of accrual-based
IPSAS. Such factors include staff experience, understanding and skills, in-house
training necessity, involvement of professional accountants with high ethical
conducts and hope for future business opportunities including attraction of
development partners. The study also examined how the identified factors affect
implementation of accrual-based IPSAS in the LGAs. Our findings show that staff
experience, in-house training necessity, understanding and skills, involvement of
professional accountants and publication of financial statements with the standardized
format; significantly influence implementation of accrual-based IPSAS in the LGAs.
Other factors like sanctions by regulatory authorities, pressure from development
partners and adequate implementation policies were also reported to have a significant
impact. Finally, the study examined the influences of demographic factors in
implementation of accrual-based IPSAS in the LGAs. Gender, professional
qualification and education level were found to have a positive significant influence
while age and number of years of service in the LGAs had a negative impact in the
implementation of accrual-based IPSAS in the LGAs.
We recommend further studies to examine an alternative way of measuring accrual
based IPSAS implementation. In addition, since this research involved 7 LGAs in
Dodoma out of 185 found in Tanzania Mainland, further studies should take into
account the rest of the LGAs in Tanzania and abroad.