Khaberni - Written by Dr. Hala Zidan
The question in public financial reform is no longer whether governments have adopted international standards, but whether they are capable of actually using them in decision-making. Today, the gap between “adoption” and “application” represents one of the major challenges faced by many countries, including Jordan.. Although Jordan was among the countries that took the initiative to adopt the international public sector accounting standards (IPSAS), practical experience indicates that the existence of standards alone does not guarantee the desired reform. Standards, by their nature, provide a technical framework, but they do not automatically create strong systems, nor build institutional capacity, nor change the culture of decision-making..
One of the most significant international experiences that contributed to improving public financial control is the Saudi experience emerging from Vision 2030 where it serves as an example of how to manage IPSAS. IPSAS standards have been integrated within a broader public financial reform project, which included developing integrated governmental financial information systems, transitioning to an accrual basis, massively investing in capacity building, and directly linking financial reports to planning and decision-making processes.. What distinguishes this experience is not only the speed of implementation, but also the clarity of political vision and strong institutional support, enabling the transformation of IPSAS from a theoretical framework into a practical tool for managing public money with higher efficiency..
This issue gains further importance when considering Jordan's Economic Modernization Vision (2023–2033), which clearly focused on stimulating growth through key sectorial engines and creating job opportunities. Despite the robustness of this vision in terms of economic orientation, its success inevitably depends on having a public financial system capable of producing accurate and timely information to support decision-making. Here, the role of IPSAS emerges not just as an accounting framework, but as a tool that enables decision-makers to assess spending efficiency, measure the real impact of economic policies, and link public resources to developmental priorities more effectively..
For Jordan, today's challenge is not about adopting new standards, but about repositioning the existing financial reform. This requires, first, activating the role of financial information in supporting economic policies, rather than remaining within the traditional oversight framework. Second, investing in developing government systems and building capacities capable of analyzing financial data, not just preparing it. And third, linking reforms IPSAS directly to the objectives of the Economic Modernization Vision, so that they become part of the growth system, not a separate project..
There is also a real opportunity to enhance cooperation with Saudi Arabia in this field, whether through knowledge transfer, developing joint training programs, or benefiting from the Saudi experience in managing the transition towards accrual-based accounting..
In the end, no economic reform can achieve its objectives without a public financial system capable of producing accurate and meaningful information. Herein lies the real value of IPSAS: not as an end in itself, but as a means to reshape how states manage their resources and enhance the efficiency of their use..
