AAAG Guidelines

The African Association of Accountants General (AAAG) presents this Model Government-Wide Integrated Risk Management (GW-IRM) Guide as a strategic reference framework to support Member Countries in strengthening their national capacity to anticipate, assess, manage, and respond to critical risks that may threaten economic development, public welfare, fiscal stability, service delivery, and national resilience.

Illicit Financial Flows (IFFs) continue to undermine domestic resource mobilisation, distort public financial management systems, and weaken fiscal sovereignty across Africa. Offices of Accountants General, by virtue of their control over financial reporting, treasury operations, and government accounting systems, are uniquely positioned to act as first-line detectors of suspicious financial transactions.

The African Association of Accountants General (AAAG) has increasingly received requests from member countries for examples of Public Financial Management (PFM) Acts to guide the drafting, review or modernisation of national legislation. This demand reflects a common reform priority across the continent: countries want PFM laws that strengthen fiscal discipline, improve transparency, clarify accountability, support service delivery, and enable credible reporting of public resources.

This Model Public Financial Management Act provides a non-authoritative harmonised legislative framework that AAAG member countries may adapt when drafting, reviewing or modernising national PFM legislation. It establishes a benchmark for lawful, transparent, accountable, planning-linked and sustainable management of public resources.

The AAAG First Time Adoption(AFTA) of the Accrual Accounting Guide is a one-time application guidance primarily designed to assist member countries migrating from cash accounting to the accrual basis. It can be used in circumstances where a Ministry, Department or Agency (MDA) either does not maintain a statement of financial position or has one that only provides limited information relative to the scope of these guidelines.

These guidelines prescribe the accounting treatment for service concession arrangements by the grantor. This version is based on the original IPSAS 32 as issued by the International Public Sector Accounting Standards Board (IPSASB).

The AAAG PPE (APPE) Accounting Guide is designed to provide technical accounting guidance on the application of the principles set out in IPAS 45 on the treatment of PPE (also known as fixed assets) in the preparation of the financial statements.

The “AAAG Transition Guide to Accrual Accounting” (May 2024) is a comprehensive resource designed to support African governments in transitioning from cash accounting to accrual accounting in the public sector, following International Public Sector Accounting Standards (IPSAS). This guide aims to enhance public financial management by improving transparency, accountability, and decision-making while aligning financial reporting with global standards.

These Application Guidances provide practical accounting guidance for the impairment of non-cash-generating assets. They are designed to assist public sector entities to apply IPSAS 21 in a simplified and consistent manner without losing the core accounting requirements of the Standard.

This guidance translate IPSAS 26 into practical public sector accounting guidance and explains how entities should identify cash-generating assets and cash-generating units, assess indicators of impairment, measure recoverable amount, recognise impairment losses, reverse impairment losses where appropriate, present impairment effects and prepare disclosures supported by illustrative examples, practical decision points, accounting entries and disclosure guidance.