Page 62 - CMA Journal (Jan-Feb 2026)

Top Technology Trend

T O P TECHNOLOGY TREND

A SYNOPSIS OF BOOK ON

‘BLOCKCHAIN IN PUBLIC FINANCE’

Authored by Mr. Muhammad Afzaal, FCMA, this upcoming
book explains how blockchain technology can transform
public financial management. It highlights key challenges
such as fund leakages, inefficient procurement, and limited
budget transparency, and shows how blockchain’s
transparency, traceability, and reliability can make public
finance more accountable, efficient, and trustworthy. Using
global examples and clear, engaging language, the book
offers practical insights for policymakers, practitioners, and

academics who want better governance and stronger public
trust. The book will be launched soon. Stay tuned and be
among the first to read it on the day of release.

Introduction Why Technological Innovation is Needed

Public finance is the backbone of governance, guiding Public finance systems around the world rely heavily on
how governments collect revenues, allocate resources, centralized databases, manual reporting, and
and manage expenditures to support economic and fragmented management processes. These limitations
social development. Traditional public financial allow manipulation, delayed reporting, and weak
management systems often face challenges such as oversight. Audits are often conducted months or even
corruption, inefficiency, limited transparency, tax years after transactions occur, reducing the ability of

evasion, and weak accountability. These issues authorities to prevent misuse of funds. Revenue
undermine public trust and reduce the effectiveness of collection is frequently affected by tax evasion, weak
policy implementation. In recent years, technological compliance, and administrative inefficiencies.
innovations have emerged to address these weaknesses, Governments lose substantial revenue due to
and blockchain technology has emerged as one of the underreporting, bribery, and manipulation of records.
most promising tools for transforming public finance. Citizens often have limited access to information about
Originally developed for cryptocurrencies, blockchain how public funds are collected and spent, creating a
has evolved into a digital infrastructure that can reshape transparency gap that erodes trust in institutions.
governance systems. It is a decentralized ledger that Blockchain offers a solution by providing a secure,
records transactions securely, transparently, and automated, and transparent system for recording and
permanently. Each transaction is validated and linked verifying financial transactions, thereby strengthening
chronologically, ensuring that once data is recorded, it oversight and efficiency.
cannot be altered without detection, creating a
tamper-proof record for financial management.
60 ICMA’s Chartered Management Accountant, Jan-Feb 2026