Background of the Study
Internally Generated Revenue (IGR) is crucial for the financial sustainability of local governments in Nigeria, as it enables them to fund various developmental projects. However, inefficient revenue tracking and management systems have hindered the effective collection and utilization of IGR in Maiduguri Local Government Area (LGA). This study aims to assess how Accounting Information Systems (AIS) can be used as a tool for monitoring IGR and improving the financial management processes in the local government.
Statement of the Problem
Maiduguri LGA faces challenges related to revenue leakage, poor monitoring, and lack of transparency in IGR collection. The absence of an efficient AIS contributes to these issues, leading to poor revenue generation and mismanagement. This study will examine how the implementation of AIS can improve revenue monitoring, transparency, and efficiency in the collection and allocation of IGR.
Aim and Objectives of the Study
Aim: To evaluate the effectiveness of Accounting Information Systems in monitoring Internally Generated Revenue in Maiduguri Local Government Area.
Objectives:
To assess the role of AIS in improving the accuracy of IGR data.
To explore how AIS can help reduce revenue leakages in Maiduguri LGA.
To evaluate the impact of AIS on enhancing transparency and accountability in IGR collection.
Research Questions
How can AIS improve the accuracy of revenue data in Maiduguri LGA?
What impact does AIS have on reducing revenue leakage in the local government?
How does AIS contribute to the transparency and accountability of IGR collection in Maiduguri LGA?
Research Hypothesis
H₀: The implementation of AIS does not significantly improve the monitoring of IGR in Maiduguri LGA.
H₀: AIS has no significant impact on reducing revenue leakages in Maiduguri LGA.
Significance of the Study
This study will provide insights into how AIS can be used to enhance revenue management in local governments, contributing to better financial sustainability and efficient resource allocation.
Scope and Limitation of the Study
The study will focus on Maiduguri Local Government Area, particularly on departments involved in IGR collection and management. Limitations may include data access and the willingness of government officials to share revenue-related information.
Definition of Terms
Internally Generated Revenue (IGR): Revenue generated by local governments through taxes, levies, and other local charges.
Accounting Information System (AIS): A system designed to track, process, and report financial data, enhancing decision-making and accountability.
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