The government has officially begun its transition from cash-based to accrual accounting, a bold move aimed at improving transparency, tightening fiscal discipline, and strengthening public resource management.
Speaking at a training workshop for senior finance officers in Mombasa, Treasury PS Dr. Chris Kiptoo said the reform will fix long-standing flaws in how the government tracks spending, debt, and public assets. “This isn’t just about bookkeeping it’s a transformation in how we govern,” he said.
Approved by Cabinet in 2024, the shift to accrual accounting will be rolled out over three years across ministries, counties, and state agencies.
Unlike the current system the new approach will record obligations as they happen not just when money changes hands giving a clearer picture of the country’s financial health.
Experts from the African Association of Accountants General (AAAG) are leading the training with Kenya represented by Treasury’s Jonah Wala.
The move is expected to reduce ghost projects, pending bills, and mismanaged public assets while boosting confidence among citizens, lenders, and investors.
