Reinforcing Public Financial Governance Through Accountability and Transparency

Abstract

Accountability and transparency are two fundamental principles in the governance of public financial management. Governments bear the responsibility to manage public resources efficiently, openly, and responsibly. Public financial transparency enables citizens to access information related to budget management and financial performance outcomes, while accountability ensures that every use of public funds is accompanied by clear oversight mechanisms. This literature study aims to examine the implementation of these principles within the context of government financial reporting, with a particular focus on the effectiveness of applying accrual-based Government Accounting Standards. Through a comprehensive review of journal articles and research publications from the last five years, this study finds that the implementation of accountability and transparency plays a crucial role in strengthening public trust, improving fiscal efficiency, and preventing budget misuse. Nevertheless, challenges remain in understanding accounting standards, integrating information systems, and ensuring policy consistency across government entities. Strengthening institutional capacity and digital reporting systems is therefore essential for sustainable public financial governance.