Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects

Ekubiat John Udo; Ime Edet Esara

doi:doi:10.11648/j.jfa.20160403.14

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Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects

Ekubiat John Udo, Ime Edet Esara

Published in Journal of Finance and Accounting (Volume 4, Issue 3)

Received: 2 May 2016 Accepted: 7 May 2016 Published: 17 May 2016

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Abstract

Nigeria’s Public Funds at all levels have been wrongly accounted-for by previous administrations. But to avert this threat coupled with the present country’s dwindling economy, Federal Government of Nigeria has implemented Treasury Single Account (TSA) to properly manage the scare financial resources but State Governments of Nigeria have been left-out. The aim of this study was to examine the benefits, challenges and prospects of adoption of Treasury Single Account (TSA) by State Governments of Nigeria. Descriptive cross-sectional survey design was adopted for the study. The population for the study consisted of 200 Professional Accountants in Akwa Ibom State. Taro Yamane’s statistical formula was used to select sample size of 133. Purposive sampling technique was used to select the 133 respondents/samples. The data obtained from questionnaire administration were analyzed using descriptive statistics and t-test statistics. The finding reveals that, TSA adoption and full implementation by the state governments will be of greatest benefit as showed in the weighted means scores of 4.20 and t_cal of 24.87; there will be challenges in a short-run but the benefits at a long-run will definitely out-weight the challenges. It is the conclusion in this study that, State Governments of Nigeria should adopt and fully implement TSA for successful control and accountability of public funds so as to avoid bailout funds always from any source. State governments should enlighten all stakeholders on the benefits of TSA adoption as well as professional and regulatory bodies (ICAN, CBN, IMF, etc.) should help in designing, conceptualizing and road-mapping of TSA for the states.

Published in	Journal of Finance and Accounting (Volume 4, Issue 3)
DOI	10.11648/j.jfa.20160403.14
Page(s)	126-130
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2016. Published by Science Publishing Group

Keywords

Treasury Single Account (TSA), State Governments of Nigeria, Adoption, Benefits, Challenges, Prospects, Public Funds, MDAs

References

[1]	I. Adeolu, Understanding the treasury single account (tsa) system – things you should know. Business & Economy, Market Development.
[2]	S. Pattanayak and I. Fainboim, Treasury single account: an essential tool for government cash management. Fiscal Affairs Department, IMF, August 2011.
[3]	Constitution of Federal Republic of Nigeria, 1999 (as amended).
[4]	S. Pattanayak and I. Fainboim, Treasury single account: concept, design and implementation. IMF Working Paper, May 2010, pp. 1-47.
[5]	CBN, Revised guidelines for compliance with treasury single account by banks in Nigeria, 2015.
[6]	I. Yusuf, Counting cost of treasury single account, The Nation, September 27, 2015.
[7]	T. Oyedele, Nigeria: what does the new treasury single account (TSA) hold for tax? PWC Nigeria, October 2015.
[8]	J. Grubber, Public Finance and Policy. New York: Work Publications, p. 2, ISBN 7167 – 8655- 9, 2005.
[9]	V. Alok, Assignment systems in federations, 5th International Conference on Federalism Conference Reader, New Delhi, India, November 2007, pp. 107–113.
[10]	O. Enwegbara, “Buhahri’s tsa directive is timely” Sahara reporters. http://saharareporters.com/2015/08/12/...
[11]	O. Okechukwu and D. Chukwurah, An analysis of pros and cons tsa policy in Nigeria. Arbian Journal of Business and Management Review (OMAN Chapter), 2015, vol. 5 (1), pp. 21-39.
[12]	D. Adams, “CBN advises states to adopt treasury single account. Web Publication, September 2015.
[13]	Systemspece, Understanding the treasury single account (tsa) system – things you should know. The Statwart Report, 2015.

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APA Style

Ekubiat John Udo, Ime Edet Esara. (2016). Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. Journal of Finance and Accounting, 4(3), 126-130. https://doi.org/10.11648/j.jfa.20160403.14

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ACS Style

Ekubiat John Udo; Ime Edet Esara. Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. J. Finance Account. 2016, 4(3), 126-130. doi: 10.11648/j.jfa.20160403.14

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AMA Style

Ekubiat John Udo, Ime Edet Esara. Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. J Finance Account. 2016;4(3):126-130. doi: 10.11648/j.jfa.20160403.14

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@article{10.11648/j.jfa.20160403.14,
  author = {Ekubiat John Udo and Ime Edet Esara},
  title = {Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects},
  journal = {Journal of Finance and Accounting},
  volume = {4},
  number = {3},
  pages = {126-130},
  doi = {10.11648/j.jfa.20160403.14},
  url = {https://doi.org/10.11648/j.jfa.20160403.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20160403.14},
  abstract = {Nigeria’s Public Funds at all levels have been wrongly accounted-for by previous administrations. But to avert this threat coupled with the present country’s dwindling economy, Federal Government of Nigeria has implemented Treasury Single Account (TSA) to properly manage the scare financial resources but State Governments of Nigeria have been left-out. The aim of this study was to examine the benefits, challenges and prospects of adoption of Treasury Single Account (TSA) by State Governments of Nigeria. Descriptive cross-sectional survey design was adopted for the study. The population for the study consisted of 200 Professional Accountants in Akwa Ibom State. Taro Yamane’s statistical formula was used to select sample size of 133. Purposive sampling technique was used to select the 133 respondents/samples. The data obtained from questionnaire administration were analyzed using descriptive statistics and t-test statistics. The finding reveals that, TSA adoption and full implementation by the state governments will be of greatest benefit as showed in the weighted means scores of 4.20 and tcal of 24.87; there will be challenges in a short-run but the benefits at a long-run will definitely out-weight the challenges. It is the conclusion in this study that, State Governments of Nigeria should adopt and fully implement TSA for successful control and accountability of public funds so as to avoid bailout funds always from any source. State governments should enlighten all stakeholders on the benefits of TSA adoption as well as professional and regulatory bodies (ICAN, CBN, IMF, etc.) should help in designing, conceptualizing and road-mapping of TSA for the states.},
 year = {2016}
}

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T1  - Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects
AU  - Ekubiat John Udo
AU  - Ime Edet Esara
Y1  - 2016/05/17
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JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
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AB  - Nigeria’s Public Funds at all levels have been wrongly accounted-for by previous administrations. But to avert this threat coupled with the present country’s dwindling economy, Federal Government of Nigeria has implemented Treasury Single Account (TSA) to properly manage the scare financial resources but State Governments of Nigeria have been left-out. The aim of this study was to examine the benefits, challenges and prospects of adoption of Treasury Single Account (TSA) by State Governments of Nigeria. Descriptive cross-sectional survey design was adopted for the study. The population for the study consisted of 200 Professional Accountants in Akwa Ibom State. Taro Yamane’s statistical formula was used to select sample size of 133. Purposive sampling technique was used to select the 133 respondents/samples. The data obtained from questionnaire administration were analyzed using descriptive statistics and t-test statistics. The finding reveals that, TSA adoption and full implementation by the state governments will be of greatest benefit as showed in the weighted means scores of 4.20 and tcal of 24.87; there will be challenges in a short-run but the benefits at a long-run will definitely out-weight the challenges. It is the conclusion in this study that, State Governments of Nigeria should adopt and fully implement TSA for successful control and accountability of public funds so as to avoid bailout funds always from any source. State governments should enlighten all stakeholders on the benefits of TSA adoption as well as professional and regulatory bodies (ICAN, CBN, IMF, etc.) should help in designing, conceptualizing and road-mapping of TSA for the states.
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Author Information

Ekubiat John Udo

Department of Accountancy, Akwa Ibom State Polytechnic, Ikot Osurua, Ikot Ekpene, Nigeria
Ime Edet Esara

Department of Banking & Finance, Akwa Ibom State Polytechnic, Ikot Osurua, Ikot Ekpene, Nigeria

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APA Style

Ekubiat John Udo, Ime Edet Esara. (2016). Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. Journal of Finance and Accounting, 4(3), 126-130. https://doi.org/10.11648/j.jfa.20160403.14

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ACS Style

Ekubiat John Udo; Ime Edet Esara. Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. J. Finance Account. 2016, 4(3), 126-130. doi: 10.11648/j.jfa.20160403.14

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AMA Style

Ekubiat John Udo, Ime Edet Esara. Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects. J Finance Account. 2016;4(3):126-130. doi: 10.11648/j.jfa.20160403.14

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@article{10.11648/j.jfa.20160403.14,
  author = {Ekubiat John Udo and Ime Edet Esara},
  title = {Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects},
  journal = {Journal of Finance and Accounting},
  volume = {4},
  number = {3},
  pages = {126-130},
  doi = {10.11648/j.jfa.20160403.14},
  url = {https://doi.org/10.11648/j.jfa.20160403.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20160403.14},
  abstract = {Nigeria’s Public Funds at all levels have been wrongly accounted-for by previous administrations. But to avert this threat coupled with the present country’s dwindling economy, Federal Government of Nigeria has implemented Treasury Single Account (TSA) to properly manage the scare financial resources but State Governments of Nigeria have been left-out. The aim of this study was to examine the benefits, challenges and prospects of adoption of Treasury Single Account (TSA) by State Governments of Nigeria. Descriptive cross-sectional survey design was adopted for the study. The population for the study consisted of 200 Professional Accountants in Akwa Ibom State. Taro Yamane’s statistical formula was used to select sample size of 133. Purposive sampling technique was used to select the 133 respondents/samples. The data obtained from questionnaire administration were analyzed using descriptive statistics and t-test statistics. The finding reveals that, TSA adoption and full implementation by the state governments will be of greatest benefit as showed in the weighted means scores of 4.20 and tcal of 24.87; there will be challenges in a short-run but the benefits at a long-run will definitely out-weight the challenges. It is the conclusion in this study that, State Governments of Nigeria should adopt and fully implement TSA for successful control and accountability of public funds so as to avoid bailout funds always from any source. State governments should enlighten all stakeholders on the benefits of TSA adoption as well as professional and regulatory bodies (ICAN, CBN, IMF, etc.) should help in designing, conceptualizing and road-mapping of TSA for the states.},
 year = {2016}
}

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TY  - JOUR
T1  - Adoption of Treasury Single Account (TSA) by State Governments of Nigeria: Benefits, Challenges and Prospects
AU  - Ekubiat John Udo
AU  - Ime Edet Esara
Y1  - 2016/05/17
PY  - 2016
N1  - https://doi.org/10.11648/j.jfa.20160403.14
DO  - 10.11648/j.jfa.20160403.14
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 126
EP  - 130
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20160403.14
AB  - Nigeria’s Public Funds at all levels have been wrongly accounted-for by previous administrations. But to avert this threat coupled with the present country’s dwindling economy, Federal Government of Nigeria has implemented Treasury Single Account (TSA) to properly manage the scare financial resources but State Governments of Nigeria have been left-out. The aim of this study was to examine the benefits, challenges and prospects of adoption of Treasury Single Account (TSA) by State Governments of Nigeria. Descriptive cross-sectional survey design was adopted for the study. The population for the study consisted of 200 Professional Accountants in Akwa Ibom State. Taro Yamane’s statistical formula was used to select sample size of 133. Purposive sampling technique was used to select the 133 respondents/samples. The data obtained from questionnaire administration were analyzed using descriptive statistics and t-test statistics. The finding reveals that, TSA adoption and full implementation by the state governments will be of greatest benefit as showed in the weighted means scores of 4.20 and tcal of 24.87; there will be challenges in a short-run but the benefits at a long-run will definitely out-weight the challenges. It is the conclusion in this study that, State Governments of Nigeria should adopt and fully implement TSA for successful control and accountability of public funds so as to avoid bailout funds always from any source. State governments should enlighten all stakeholders on the benefits of TSA adoption as well as professional and regulatory bodies (ICAN, CBN, IMF, etc.) should help in designing, conceptualizing and road-mapping of TSA for the states.
VL  - 4
IS  - 3
ER  -

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