Terms of Reference (ToR): Consultancy Service for the Conversion of the Accounting System from GAAP to IPSAS _International Media Support (IMS), Ethiopia

1. Background

International Media Support (IMS) works to promote media freedom and the safety of journalists globally. IMS has been operational in Ethiopia since its registration with the Authority for Civil Society Organizations (ACSO) on 21 July 2020 under Registration No. 4997.

In Ethiopia, IMS collaborates with implementing partners and independent consultants to strengthen media freedom and improve the safety of journalists. As part of its commitment to strengthening financial management and complying with international financial reporting standards, IMS Ethiopia intends to transition its accounting and financial reporting framework from Generally Accepted Accounting Principles (GAAP) to the International Public Sector Accounting Standards (IPSAS).

To support this transition, IMS Ethiopia seeks to engage a qualified accounting or consulting firm with proven experience in IPSAS implementation to provide technical assistance throughout the conversion process.

Objective of the Assignment

The overall objective of this consultancy is to support IMS Ethiopia in converting its accounting system and financial reporting framework from GAAP to IPSAS.

Specific objectives include:

• Assess the existing accounting system and identify the changes required for IPSAS compliance.
• Support the conversion of accounting policies, financial reporting formats, and accounting records.
• Strengthen the capacity of IMS Ethiopia finance staff through practical training and coaching.
• Ensure that the converted accounting system complies with IPSAS requirements and international best practices.

Applicable Standards

The assignment shall be carried out in accordance with:

• International Public Sector Accounting Standards (IPSAS).
• Applicable Ethiopian financial reporting regulations.
• Authority for Civil Society Organizations (ACSO) financial reporting requirements.
• Relevant donor financial reporting requirements, where applicable.

Scope of Work

The selected consulting firm shall undertake, but not be limited to, the following activities.

Assessment of Current Accounting System:

• Review and assess IMS current accounting system, policies, and processes.
• Identify key differences between GAAP and IPSAS and evaluate the impact of these differences on financial reporting and data conversion.

Conversion Execution:

Assist in mapping and adjusting current accounting data structures to align with IPSAS requirements.

• Oversee the technical aspects of the system conversion, ensuring the accuracy and integrity of data throughout the process.

Support and Guidance During Conversion:

• Provide technical expertise and guidance during the transition, addressing challenges as they arise.
• Ensure full compliance with IPSAS in all aspects of financial reporting, including asset, relevant balance sheet revaluation, Full disclosure inclusion, and reporting formats.

Post Conversion Support:

• Offer post-conversion support to ensure the smooth operation of the new system and address any emerging issues.
• Provide recommendations to optimize the system for future growth and scalability.

Key Responsibilities of the Firm:

• Conduct an initial assessment of IMS Ethiopia current accounting system.
• Guide IMS Ethiopia through each phase of the transition, ensuring full compliance with IPSAS.
• Provide training and build internal capacity for IMS Ethiopia finance and Admin coordinator
• Ensure the new system is optimized for future financial reporting needs.
• Offer continuous support and troubleshooting post-conversion.

4. Reporting and Coordination

The selected consulting firm shall report to the IMS Ethiopia, Finance person with day-to-day coordination.

The consulting firm shall work closely with the IMS Ethiopia Finance and Administration person, where necessary, coordinate with the relevant IMS Headquarters Finance team.

The consultant shall provide:

• Regular progress updates to the designated IMS focal point.
• Progress meetings at key stages of the assignment.
• Immediate communication regarding any significant challenges, delays, or issues that may affect the implementation timeline.
• A brief written progress update summarizing activities completed, key findings, challenges, and planned next steps.

Progress meetings will be held bi-weekly throughout the consultancy period.

Timeline and Key Milestones

The assignment is expected to commence on December 1, 2026 to January 31,2027 and will be completed within two months

The indicative timeline is as follows:

The consulting firm shall ensure that all final deliverables are completed and submitted by the agreed final deadline.