The Role of Public Sector Accounting in Monitoring Foreign Aids and Its Effectiveness: A Systematic Literature Review

The degree of transparency and accountability in the management of foreign aid has a direct impact on its ability to accomplish development objectives. To guarantee that aid resources are appropriately distributed, monitored, and assessed, public accounting systems are essential. The purpose of this study is to thoroughly examine the body of research on the benefits of public accounting for accountability and transparency in foreign aid administration. Using the SPIDER framework, a systematic literature review was carried out to find and examine pertinent studies from databases like PubMed, Crossref, and Scopus. The screening and selection procedure was guided by the PRISMA methodology. According to the review, competent public accounting systems improve the efficacy of foreign aid, especially in the areas of financial reporting, auditing, and budgeting. However, the effectiveness of these measures depends on institutional quality and political commitment. A key component of enhancing the results of foreign aid is public accounting. Both donor and recipient governments should place a high priority on investments in auditing organizations, budget transparency, and participatory processes.