6

Th is appendix provides a generalized description of the
relationship between the government fi nance statistics
reporting guidelines and the International Public Sector
Accounting Standards.

Introduction.

A6.1 Th is Manual recognizes the close relationship
between guidelines for reporting GFS and accruals-
based public sector accounting standards. Many of
the accounting rules, concepts, and procedures used
in macroeconomic statistics are based on those used
in public sector accounting. International develop-
ments in statistical methodology and accounting
standards for the public sector have been coordinated
over recent years, to improve government reporting
and fi scal transparency. A government’s preparation
of fi scal statistics that meet the guidelines set out
in this Manual is facilitated by application of high-
quality accrual accounting standards, such as Interna-
tional Public Sector Accounting Standards (IPSASs).
Th is is because a comprehensive accruals accounting
system greatly improves the source data necessary for
compilation of GFS. Governments should be aware of
the scope that exists for them to design their Chart
of Accounts so that data capture works effi ciently for
the dual purpose of generating GFS and accounting
information.

A6.2 Th e Task Force on Harmonization of Pub-
lic Sector Accounting, created in 2003, was the fi rst
formal initiative at the international level with the
objective to harmonize statistical guidelines and ac-
counting standards. Th e Task Force’s major outputs
were: (i)  guidance in the area of public sector statis-
tics that informed the update of the 2008 SNA, and
(ii) a research report that systematically documented
similarities and diff erences between the two reporting
systems. International organizations and the Inter-
national Public Sector Accounting Standards Board

(IPSASB) continue eff orts to align guidelines as far as

possible, while identifying and reconciling unavoid-

able diff erences that may continue to exist.

A6.3 Because both IPSASs and statistical report-

ing guidelines are dynamic and change over time,

this appendix focuses only on the basic principles

that explain why the two reporting frameworks dif-

fer. Detailed information on specifi c diff erences can

be found on the IPSASB’s website and through refer-

ence to individual IPSASs and detailed chapters of the

GFSM 2014.

A6.4 Th is appendix focuses specifi cally on the

links between GFS and IPSASs, because IPSASs are

international standards and recognized as best prac-

tice for public sector fi nancial reporting. IPSASs form

a comprehensive set of full accruals accounting stan-

dards. Public sector accounting standards developed

in many national jurisdictions are based on IPSASs.

Th is means that comparison with IPSASs provides a

clear, comprehensive basis for a GFS reporting guide-

lines comparison with accounting standards, while

leaving scope for those who apply other, non-IPSAS-

based, full accruals accounting standards to adjust

this overview for their own national diff erences.

Comparison of IPSASs and GFS Reporting Guidelines

A6.5 Th ere is considerable overlap between IPSASs

and GFS reporting guidelines. Th is section provides a

generalized description of the relationship between

IPSASs and the GFS reporting guidelines, focusing

on the conceptual diff erences that explain why the

two reporting frameworks diff er in certain areas. It

provides a summary of how to reconcile these two

very similar yet—in important ways—diff erent sets

of information. If suitable adjustments are made to

address the diff erences described here, IPSAS-based

GFS and International Public Sector

Accounting Standards

APPENDIX