Strong PFM vital for robust economy – ICAG President


The Institute of Chartered Accountants Ghana (ICAG) president, Sena Dake, has said strong public financial management (PFM) is crucial for the development of a robust economy

In a recent interaction with the press, Ms. Dake underscored that improving the quality of public services is a complex task that requires better information and tools for the effective management of public finances.

She added that strong PFM is central and critical to all parts of the public sector, because it plays a vital role in ensuring efficient allocation and use of resources as well as promoting transparency and accountability in government financial operations.

She indicated that by effectively managing public finances, government can contribute to building a stronger economy and enhance the well-being of citizens.

“The Institute of Chartered Accountants Ghana, in line with its mandate under the Institute’s Act, 2020 (Act 1058), is committed to making significant contributions to the development of a sound and stable public financial management system,” she said.

“Improving the quality of public services is vital to citizens and the economy, but it’s a complex task. With better information and tools, public finances can be better-managed and lead to stronger economies. Strong PFM is central and critical to all parts of the public sector. The Institute is geared to play the key roles enshrined in the Institute of Chartered Accountants, Ghana Act, 2020 (Act 1058) which include making significant contributions for a sound, stable and solid public financial management system and sustainable economic development,” she said.

In addition, the Institute aims to support sustainable economic development by providing expertise and guidance on financial management practices.

In recent months, the Institute has actively engaged with government on key issues related to public finances. Between December 2022 and May 2023, the Institute submitted a communique and four discussion papers to government on Ghana’s debt restructuring and the financial reporting implications of the debt exchange arrangement embarked upon by government for the purpose of ensuring the country’s debt sustainability.

She said the Institute is fully committed to supporting government in its efforts to strengthen PFM and promote sustainable economic development. By providing expert insights and recommendations, the Institute aims at contributinf to a robust financial management system that will benefit both government and the citizens of Ghana.

In view of this, the Institute has outlined plans and activities for the upcoming year through their continuous support to the profession and country as a whole. One of the key initiatives is organising the first National Forum on Public Financial Management.

This forum aims at bringing together experts and stakeholders to discuss and address public financial management challenges in Ghana.

Additionally, the Institute aims to play a leading role in promoting sustainability, accounting and integrated reporting in Ghana and the West African sub-region. By advocating for these practices, the Institute hopes to contribute to more transparent and accountable financial reporting in the region.

Furthermore, the Institute plans to institutionalise a mentorship programme for both students and newly qualified accountants. This programme aims to develop the skills of future-ready accountants by providing guidance and support from experienced professionals.

To promote financial literacy, the Institute will roll out a financial education plan. This plan aims at providing proper financial education to the public, ensuring that individuals have a solid understanding of financial concepts and can make informed decisions.

The Institute has also established the West African Centre for Research in Accountancy, which will begin operations in September. This centre will serve as a hub for research and knowledge-sharing in the field of accountancy, contributing to the profession’s advancement in the region.

In recognition of retired accountants’ contributions, the Institute will establish a retired accountant association. Qualified retired accountants will be awarded fellowships, and a special event will be organised to honour the association’s founders.

As part of its 60th anniversary celebration, the Institute plans to start the third phase of its infrastructural project. This project aims to improve the Institute’s facilities and provide a landmark for its anniversary.

These plans and activities reflect the Institute’s commitment to promoting excellence, professionalism and sustainable economic development in the accounting profession of Ghana. With these initiatives, the Institute aims to strengthen the profession, enhance financial management practices, and contribute to Ghana’s overall growth and development.

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