Determining the Relationship between Internal Controls and Financial Accountability in Bushenyi District Local Government, Uganda

Abstract

Implementing Integrated Financial Management Information Systems in terms of internal controls has been essential in recent years for increasing financial oversight, fostering transparency, and boosting resource management in government sectors across the globe. This study examined the effect of internal controls on financial accountability in Uganda's Bushenyi District Local Government after realizing its potential. Financial reporting was found to have a substantial positive correlation with (r = 0.485, P < 0.001) when a sample of 124 respondents from a population of 185 completed self-administered questionnaires using a quantitative technique.  According to the study's findings, financial reporting has a positive impact on financial accountability by allowing the government to evaluate the efficacy and efficiency of internal controls as well as adherence to financial policies. This helps the government make well-informed decisions and emphasizes the function of internal controls in stopping and identifying fraudulent activity in government sectors. In order to ensure efficient management of public funds, the study suggests strengthening internal control mechanisms, streamlining financial reporting systems, simplifying financial planning, and offering staff targeted training programs. These actions will improve financial accountability and public resource management in Bushenyi District Local Government.