• Accounting and Sustainable Development: A Case of Poverty Reduction in an Emerging Economy

      Nagirikandalage, Padmi; University of Chester
      Accounting has been widely used in both public and private sectors across the globe for the sustainable development of corporates as well as economies. However, in the recent past, there has been a wide discussion on poverty reduction and public sector accounting reforms especially in emerging economies in order to enhance the transparency in government expenditure, auditing and accountability as well. Since the governments are responsible on providing essential public services which have a greater impact on poverty, adequate measures in place to monitor the spending is vital for any country with an emerging economy. Moreover, according to the United Nations Millennium Development goals (MDGs) especially on reducing poverty, governments may require to recruit more employees for public sector to fill the gaps in the service in many essential areas such as education, health, and agriculture. Additionally, the recent past financial crisis and recession also have impacted on poverty reduction programs within emerging economies especially which are prone to corruption, fraud, and lack of transparency on government expenditures as well. Due to these various reasons, some emerging economies such as that of Sri Lanka are struggling to minimize the huge budget deficit of the government while leaving with less money for poverty reduction within the country as well. Therefore, unless these gaps are filled, many people in emerging economies will continue to live in poverty (Tridico 2009).