The Institute of Chartered Accountant Ghana (ICAG) and the Controller and Accountant-General’s Department (CAGD) have signed a Memorandum of Understanding to enhance Public Financial Management (PFM) capacity.

The agreement would also provide quality assurances for the International Public Sector Accountancy Standards as well as develop a PFM centre of excellence.

Prof Kwame Boasiako Omane-Antwi, President of ICAG, said the ceremony was a demonstration of the Institute’s resolve to work closely with government to strengthen the financial system of the country to improve public accountability and curb corruption.

Prof Omane-Antwi said the Institute would develop a package of measures, including training designed to improve PFM skills of the Institute’s members and other professional accountants working in the public sector.

He said the Institute supported all PFM reforms that would improve fiscal discipline in government, adding that the Institutes motto, ‘integrity’ emphasizes the primary objective to serve the public interest by promoting best practices within the accountancy profession.

Prof Omane-Antwi said the Integrated Financial Management Information System provided a computerized platform for the processing of government financial transaction from budget preparation through budget execution to financial reporting.

He said the system had gained international recognition for minimizing corruption through a reduction in the number of human interfaces required for the processing of government financial transactions.

Prof Omane-Antwi said the institute would support CAGD with expertise to ensure a seamless implementation of the standard and provide early warning systems to promptly address potential risks and challenges that might occur.

Madam Grace Adzroe, the Controller and Accountant General, said the outfit was happy to be part of the collaboration because of the role the department plays in public financial management in the country.

She said over the years the department had enjoyed maximum collaboration with government agencies and the Institute in ensuring efficient public financial management.

Madam Adzroe said out of the staff strength of about 4,230 staff of the CAGD, there are 225 qualified accountants who manage the treasuries and accounts of MMDAs across the country, which makes the department the largest single employer of qualified accountants.

She said the MOU would facilitate the process of building capacity of the various agencies to address the skills gap in the accountancy practice in the public sector.