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Metropolitan Journal of Business and Economics

The Impact Of IFRS Adoption On Financial Management Quality Of Stanbic Bank, Fort Portal

Authors: Kirabo Miria1 , Irumba Alex2

Journal: Metropolitan Journal of Business and Economics (MJBE)

Volume/Issue: Volume 5 - Issue 5

Published: 05 Jun 2026


Abstract

This study assessed the impact of International Financial Reporting Standards (IFRS) adoption on the quality of financial management at Stanbic Bank, Fort Portal branch, Uganda. A descriptive correlational design was adopted, with data collected from 89 respondents comprising branch staff, auditors, and corporate clients through structured questionnaires and document review. IFRS adoption was operationalized through disclosure quality, financial statement transparency, and IFRS compliance practices. Financial management quality was measured by accuracy of financial reporting, decision-making quality, and regulatory compliance. Pearson correlation and multiple regression analyses were employed. Results indicated that IFRS adoption significantly predicts financial management quality (R² = 0.561, F(3,85) = 36.17, p < 0.001). Financial statement transparency was the strongest predictor (β = 0.421, p < 0.001), followed by IFRS compliance practices (β = 0.312, p < 0.001) and disclosure quality (β = 0.219, p < 0.01).The study concludes that IFRS adoption substantially enhances financial management quality in Uganda's banking sector.
Keywords

IFRS adoption, financial management quality, Stanbic Bank, Fort Portal, financial statement transparency, Uganda, banking sector.

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