Online Reporter
Judith Phiri, Zimpapers Business Hub
ZIMBABWE has been commended for the progress it has made in the implementation of International Public Sector Accounting Standards (IPSAS), which seek to promote high-quality, consistent public financial reporting and accountability.
IPSAS are accrual-based standards that aim to strengthen public financial management by establishing financial reporting practices for governments and other public sector entities.
Zimbabwe has set December 31, 2025, as the deadline for public sector entities to fully comply with the IPSAS.
The deadline, as provided through Statutory Instrument 41 of 2019, establishes a framework for public entities to migrate to IPSAS and produce compliant financial statements.
The standards were developed by the International Public Sector Accounting Standards Board (IPSASB), which also issues sustainability reporting standards and provides guidance for non-mandatory reporting to enhance transparency and support sustainable development.
In an interview on the sidelines of the 9th edition of the Public Sector Convention in Bulawayo on Thursday, IPSASB board member, Mr Andrew van der Burgh, said Zimbabwe was on track in the implementation of IPSAS.
“Zimbabwe is obviously busy with IPSAS implementation and adoption at the moment, and we celebrate their successes. It’s a really difficult journey, I think Zimbabwe has made some really good strides in that space,” he said.
“We are encouraging them that they are not alone in doing this journey; there are new structures we have put together as the IPSASB around our international application group and also the post-implementation views that we are taking.”
He said both of the mechanics (international application group and also the post-implementation reviews) were good ways for Zimbabwe to ask the board for help to get extra guidance and support from IPSASB in terms of the implementation and use of the standards locally.
Mr Burgh said that although Zimbabwe had set the target to be IPSAS compliant by December 31, 2025, not all entities are going to meet the target. He, however, said there had been some good progress made in terms of tracking towards getting to the target.
Mr Burgh added: “If they are getting there, there are unfortunately some qualified audit opinions in reports that will come out, but that’s completely normal for any IPSAS adoption around the world. To come from a cash-based system to an accrual-based system in three years is a massive task to try and achieve.”
Mr Burgh said Zimbabwe public entities should be proud of the progress towards achieving their IPSAS targets.
He said that for those who will fail to meet the deadline, it was not the end of the road, and they should continue working hard to ensure they become fully IPSAS compliant in the near future.
“Some of the entities are fully IPSAS compliant, which is amazing,” Mr Burgh said.
“For those that are not, it was looking at why they are not and which areas of work they still need to start working on,” he said.
“They should highlight the areas they are not IPSAS compliant and in those, there is still some work to be done, as well as the plans they are putting in place to ensure they do become IPSAS-compliant in the near future.”
