FAILURE to account for government funds by about 1000 government institutions the Public Accounts Committee (PAC) had inquired into is a symptom of a failed state.
PAC member and Bulolo MP Sam Basil said on Wednesday that only five of the 1000 had satisfied the Public Accounts Management Act is an indication of a failed state.
He later told this paper that if the government institutions entrusted by the government and the people to serve them is not working, there is definitely something wrong.
Mr Basil said, "We have a big problem and we are pretending there is nothing wrong."
He said government institutions are placed to serve the country and its people but this is not happening.
The Member told this paper that governments have been defending the country over this and but the realities are written on the wall for all to see.
He said governments must admit the facts and look at ways of addressing them instead of defending.
In the first Public accounts committee inquiry for 2010, it was revealed that only five institutions have successfully satisfied the Public Accounts Management Act from the 100 inquired into by the PAC.