PUBLIC SECTOR ACCOUNTING SYSTEMS AND FINANCIAL MANAGEMENT IN AKWA IBOM STATE: EVIDENCE FROM THE OFFICE OF ACCOUNTANT GENERAL

This study examined public sector accounting systems and financial management in Akwa Ibom State, with specific evidence from the Office of the Accountant General. The objectives were to examine the effect of commitment basis accounting, assess the impact of cash basis accounting, investigate the influence of fund accounting, and determine the effect of accrual basis accounting on financial management in Akwa Ibom State. The study adopted a quantitative research design, using data sourced from the Accountant General’s office annual reports and complemented by survey responses from 46 valid participants. Descriptive statistics, correlation and regression. The findings revealed that all four accounting systems significantly influence financial management, with fund accounting and accrual basis accounting exerting the strongest effects, while cash basis accounting was significant but the weakest predictor. The regression model showed an R² value of 0.587, indicating that the four systems collectively explained about 59% of the variation in financial management. Hypotheses testing confirmed that all null hypotheses were rejected, establishing the significant role of accounting systems in improving financial outcomes. The study concludes that effective financial management in Akwa Ibom State requires a mix of accounting systems, with greater emphasis on accrual and fund accounting to strengthen accountability, transparency, and fiscal discipline. The study recommends that government should adopt International Public Sector Accounting Standards (IPSAS), promote capacity building (training) for public accountants and the integration of technology-driven systems to improve financial reporting and control.