Title: The Effect Of Risk Assessment On Public Financial Management In Selected Local Governments In Uganda.
Authors: Acen Catherine Bokello, Dr. Kibuuka Muhammad, Dr. Maina Enock
Volume: 8
Issue: 7
Pages: 348-355
Publication Date: 2024/07/28
Abstract:
This study examined the effect of risk assessment on public financial management in selected local governments in Uganda. The research adopted a cross-sectional descriptive survey design, collecting data from a sample of 280 staff members across various departments in eight local government districts in Northern Uganda. The findings revealed that risk assessment practices, including risk identification, risk analysis, and risk response, had a significant positive effect on the key dimensions of public financial management, such as budgeting, revenue collection, expenditure control, and financial reporting. The study found that effective risk assessment enabled local government officials to better anticipate, mitigate, and manage financial risks, leading to more efficient, transparent, and accountable public financial management. Additionally, the research highlighted the importance of building the capacity of local government staff in risk assessment techniques, as well as strengthening the institutional frameworks and guidelines for risk management. Recommendations include the need for comprehensive risk assessment policies, enhanced monitoring and evaluation systems, and greater coordination between central and local government authorities on PFM reforms. The findings contribute to the growing body of literature on the role of risk management in improving public sector financial management, with valuable insights for policymakers, local government practitioners, and development partners working to enhance service delivery and accountability at the subnational level in Uganda.