University Receives Silver Medal in the Accrual Accounting Transformation Project
King Khalid University received a silver medal for coming in second place in the government universities category from the Ministry of Finance's Accrual Accounting Center, in recognition of the university's adoption of the Accrual Accounting Transformation Project, at the Accrual Accounting Transformation Leaderships Forum in Riyadh.
The medal was received by King Khalid University's Vice-President for Administrative Affairs, and Head of the Accrual Accounting Transformation Team, Prof. Mohammed bin Hamid Al-Bahiri, in the presence of the Chairman of the Steering Committee at the Ministry of Finance, Prof. Abdulaziz bin Saleh Al-Fraih.
Al-Bahiri, confirmed that this recognition develops the university's financial control capabilities in line with the Saudi Vision 2030 objectives of financial quality improvement, and enhancing transparency within the Government Accounting and Auditing Standards Development Program. He added that the university was at the forefront of government entities, as it formed a specialized team and established a specialized department to accomplish this project, in accordance with the International Public Sector Accounting Standards (IPSAS).
On his part, the Vice-President of the Accrual Accounting Transformation Team at KKU, and Assistant Professor of Accounting at the College of Business, Dr. Nasser bin Mohammed Asiri, explained that this award was the result of the team's hard work and the support of qualified young leaders. He added that the transformation from the cash-basis to the accrual basis will enhance the government accounting system, following in the footsteps of private sector accounting. Through this system, we can identify, keep an inventory, code, and evaluate government entities' assets, according to fair value, and calculate assets depreciation and work with capitalization limits. As well as developing organizational structures and policies of financial departments according to the International Public Sector Accounting Standards (IPSAS).
Al-Asiri, confirmed that these developments result to issuing financial statements instead of the simplified final statement that was previously in effect on cash-basis. Financial statements include the balance sheet, the financial performance statement, the cash flow statement, the statement of changes in net assets and equity, and the statement of comparison between actual amounts and budget, which enables leaders to make sound financial decisions based on data with high accuracy and quality that takes into account aspects of transparency and governance.