Downloads: 180 | Views: 464

Research Paper | Arts and Humanities | Rwanda | Volume 7 Issue 11, November 2018 | Popularity: 7.1 / 10

Rate This Article!      

Effect of Integrated Financial Management Information System on Financial Management of The Public Financial Management in Rwanda; A Case of Mininstry of Finance and Economic Planning

Jimm Rangira, Dr. Patrick Mulyungi

Abstract: Financial management information systems are not a new phenomenon. On the contrary, the recording of financial information is the oldest known form of record keeping, dating back thousands of years. Yet financial information has long presented problems, particularly since the invention of money. Governments in developing countries are increasingly exploring methods and systems to modernize and improve public financial management. In Rwanda, majority of public ministries are faced by several obstacles in their managerial systems due to poor implementation of Integrated Financial Management Information Systems (IFMIS) in their institutions. The purpose of the study was to determine the effect integrated financial management information system on the financial performance of government institutions in Rwanda. To achieve this the study was guided by the following specific objectives; to determine the effect of plans and budget formulation using IFMIS influence financial performance of government institutions in Rwanda, to determine the effect of expenditure using IFMIS on performance of government institutions in Rwanda, to determine the effect of reporting using IFMIS on financial performance government institutions in Rwanda, and to determine the effect of revenue collection using IFMIS on financial performance of government institutions in Rwanda. The issues discussed on the literature review included concept of financial performance, influence of components of IFMIS on financial performance, theoretical review, empirical review and conceptual framework. Descriptive survey was used to collect both primary and secondary data. The target population of the study was employees of Ministry of Finance. Questionnaires are the research instruments that were used. Secondary data included periodicals and administrative challenge decisions. Data was analyzed using SPSS version 21. Summaries of data findings together with their possible interpretations was presented by tables, mean, percentages, frequencies, variances, and standard deviation. The study found that IFMIS has positive effects in financial performance. The ANOVA results for regression coefficient indicate that the significance of the F is 0.00 which is less than 0.05. This implies that there is a positive significant relationship between effect of IFMIS and financial performance and that the model is a good fit for the data. The ANOVA results for regression coefficient indicate that the significance of the F is 0.00 which is less than 0.05. This implies that there is a positive significant relationship between effect of IFMIS and financial performance and that the model is a good fit for the data. IFMIS ensures the timely provision of quality information, promotes empowerment of employees and long term goals, intervention aimed at improving entrepreneurship and self-employment, IFMIS has modernize the system of financial management in the county. It has led to economic growth, the country government has become more accountable, and IFMIS eliminate waste and corruption in the use of public assets. The study concluded that IFMIS improved financial performance. The study also recommends that government should make the adoption of technology easy by reducing cost of acquiring new equipment and other innovations. Access to technologies depends largely on government policy and a strong will to implement those policies.

Keywords: Mininstry of Finance and Economic Planning

Edition: Volume 7 Issue 11, November 2018

Pages: 555 - 558

Make Sure to Disable the Pop-Up Blocker of Web Browser

Click to Cite this Article

Similar Articles