Abstract

This research delved into the impact of financial reporting on service provision within
Uganda's Bushenyi-Ishaka Municipality. Despite governmental efforts and legislation aimed
at enhancing service delivery, the actual status remains notably deficient in this specific
region. Consequently, the study sought to uncover the influence of fiscal, operational, and
integrated financial reporting on service provision, areas that have largely lacked
exploration. The research framework was rooted in Agency Theory and executed through a
targeted population of 100, with a scientifically determined sample size of 80. Respondents
were selected via simple random sampling, and data collection employed a questionnaire
with robust reliability (0.89) and validity (0.76) measures. Analysis was conducted utilizing
SPSS software, employing multiple regression analysis after validating all regression
assumptions within acceptable limits. The findings revealed a robust regression model (R =
.986) explaining 97.1% of the variability in service delivery (R2 = .971). Specifically, fiscal
financial reporting (t = 8.479, P = .000, P < .05) and operational financial reporting (t =
3.288, P = .002, P < .05) significantly influenced service delivery, whereas integrated
reporting exhibited insignificance (t = .075, P = .940, P > .05). As a result, the study
concluded that fiscal and operational financial reporting wielded considerable impact on
service provision, while integrated financial reporting demonstrated minimal effect. In light
of these conclusions, the study recommended the implementation of an automated
reporting system. These findings hold relevance for government bodies, researchers, and
the Bushenyi-Ishaka Municipality, offering valuable insights for improving service delivery.
Keywords: Fiscal financial reporting, operational financial reporting, Integrated financial
reporting, Service delivery