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Structure of the public sector (National and county governments, state corporations and other

agencies)

Similar to many large corporations, the government follows more of a divisional structure, with

departments and commissions divided by the type of work they do. The Department of

Corrections and the Department of Health perform very different tasks, requiring employees

with skill sets to match. In the federal government, employees fall under the executive branch,

along with the President, with the legislative and judicial branch overseeing the political side of

things. (h73)

Regulatory structures and oversight [IPSASB, PSASB (establishment, mandate and functions),

Director of Accounting Services, National Treasury, Parliamentary Committees. Accounting

Officers at national and county levels]

Regulation is the monitoring and control of a sector or business by Government or an entity

appointed by Government. Direct and indirect controls and limitations are imposed upon the

regulated entity. Regulation tends to be categorized into economic regulation and other forms

of regulation.

Objectives of public sector financial statements

Financial reporting helps in decision-making and in increasing accountability, openness, and

transparency. It also helps to improve the performance of, and trust in, the public sector.

Financial reports provide basic information to people interested in the performance of an entity

(the users). They allow the entity to be held accountable for how it manages and uses the

money it receives. (h75)

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