Management of the UAE’s public finances has undergone significant development in recent years, notably with the transition to accrual-based accounting in 2021. As part of this broader reform agenda, the UAE’s ministry of finance has introduced an International Public Sector Accounting Standards (IPSAS) certification, designed to support federal entities and their employees, align with international standards, and improve the quality and transparency of government financial reporting.
The certification is one element within a larger financial and accounting capacity-building project, which aims to give public sector accountants the necessary capabilities to operate within a modern, standards-based environment. The IPSAS training programme, developed in collaboration with ACCA, addresses the technical requirements of the standard and supports consistent implementation across ministries.
‘The IPSAS certification will enable greater transparency and comparability’
‘The IPSAS certification represents a pivotal step in enhancing financial expertise across federal entities, equipping financial professionals with the knowledge and skills necessary to apply international standards, so improving transparency, comparability and accountability in public funds management,’ says Amna Hassan Alshamsi, director of financial policies and government accounting standards at the UAE’s ministry of finance.
An initial training session held in Dubai marked an early milestone in the programme’s rollout. Drawing participants from a range of ministries and federal entities, feedback suggested that practitioners not only engaged with the content but were also looking for ongoing support, indicating a broader shift towards professional development in the public sector.
‘Attendees expressed an increased sense of confidence in applying IPSAS concepts and asked for further advanced modules and continuous support during the implementation phase,’ Alshamsi says.
Wider progress
The IPSAS certification sits alongside a succession of other initiatives under the capacity-building strategy. Key milestones to date have included:
- implementation of the Unified Chart of Accounts
- developing and distributing the Federal Accounting Standards Manual and the Financial Policies and Procedures Manual based on accrual accounting, which have been standardised across federal entities
- the introduction of competency-based assessments to precisely identify training needs
- strategic partnerships with global institutions such as ACCA and the International Federation of Accountants.
‘It will help staff operate effectively within an internationally aligned PFM framework’
‘The project was driven by our strategic vision of enhancing the professionalism and readiness of financial personnel across federal entities, helping them operate effectively within an advanced, internationally aligned public financial management framework,’ Alshamsi explains.
Other initiatives under the project include:
- the development of a national framework for public sector financial literacy
- role-based e-learning programmes
- specialised workshops on topics such as risk management and internal controls
- the establishment of a digital knowledge-sharing hub that enables collaboration and peer learning among entities.
According to Alshamsi, success will be measured across a number of indicators, including improved audit outcomes, higher levels of compliance with international standards and increased stakeholder confidence in government financial reporting.
Essential addition
The IPSAS certification complements existing professional development opportunities by offering a credential specifically focused on public sector accounting. ‘It addresses a critical gap by focusing on public sector financial management, making it an essential addition to broader professional development pathways such as CPA and ACCA certifications,’ says Alshamsi.
‘It also supports career progression by enhancing the skills of government employees and enabling them to effectively manage financial transformations and new reporting frameworks.’
‘The knowledge has proven invaluable in addressing complex accounting issues’
Alshamsi completed the ACCA IPSAS course herself in 2022 and found it directly relevant to her work. ‘My own motivation stemmed from a commitment to staying aligned with international best practices and contributing meaningfully to the UAE’s financial reform efforts,’ she says. ‘The course provided me with both technical proficiency and strategic insight, which have been essential in guiding the implementation of IPSAS at the national level.
‘The knowledge gained has proven invaluable in addressing complex accounting issues and in mentoring colleagues as we transition to accrual-based accounting systems.’
Broader benefits
Reflecting on the wider context of public finance reform in the UAE, Alshamsi says: ‘The profession in the UAE is undergoing significant transformation, with an increased focus on innovation, digitalisation and adherence to global standards. Capacity-building initiatives, such as the IPSAS certification, are core to this evolution, helping to ensure that financial professionals are well-prepared to meet the challenges of today’s rapidly changing environment.’
Pointing to the broader benefits of these programmes, Alshamsi adds: ‘These initiatives also contribute to making a career in public sector finance more attractive by offering opportunities for professional growth, global recognition and the chance to make a tangible impact on national development.
‘As such, public finance is increasingly seen as a rewarding and prestigious career path.’
IPSAS opportunity
International Public Sector Accounting Standards (IPSAS) are a set of accounting principles issued by the International Public Sector Accounting Standards Board for use by public sector entities worldwide.
The UAE was the first Arab country to apply accrual accounting. Its ministry of finance says that ‘the accrual basis of accounting is a tangible indicator of the UAE government’s position as one of the world’s leading governments in applying the best management methodologies and public accounting standards’.
ACCA’s Certificate in International Public Sector Accounting Standards is designed to provide participants with a thorough understanding of IPSAS, covering aspects such as financial statement presentation, accounting policies, and the treatment of assets and liabilities.
