Chairman of the Steering Committee at the Ministry of Finance, Abdulaziz Al-Furaih, announced on Tuesday that Saudi Arabia was preparing to open the first financial center, which will be based on an integrated system of unified and harmonized standards, policies and guides at the national level.
Al-Furaih noted that the move aims to increase the efficiency of the government’s financial and accounting performance, adding that converting the entity to the accrual basis according to the new system would provide accurate and comprehensive financial information that supports decision-making.
“It also enables performance evaluation, setting targets and accountability, objectivity, and other benefits that improve the capabilities of the entity and the system in all financial and economic fields,” he underlined.
Al-Furaih’s remarks came during the opening of the Leadership Forum for the Transformation to Accrual Accounting, which was organized by the Ministry of Finance in Riyadh on Tuesday.
He pointed to the issuance of more than 190 opening balance lists for the year 2022, equivalent to 95 percent of the target in the number of lists, and more than 180 transitional financial lists for the same year, or 90 percent of the target.
He stressed that the transformation achievements would be followed by additional steps that emphasize the sustainability of business on an accrual basis and enhance the gains.
Deputy Minister of Finance for Financial Affairs and Accounts Hamad Al-Kanhal said the shift to the accrual basis is one of the Vision 2030 initiatives, adding that it is the appropriate basis for building financial information that supports the decision-making process.
Al-Kanhal stated that the Accounting Merit Pioneers program is one of the transformation management tools that was launched at the Merit Center to support and create competitiveness among government agencies with the aim of stimulating and accelerating transformation within the concerned entities.
