This study analysed the relationship between public financial management systems and fiscal outcomes in Nigeria. The findings indicate that institutional factors such as corruption and literacy rate affect the institutional pillars of PFM in Nigeria. The pillars include governance structure, accountability, transparency and predictability. Poor budget coordinating institutions, lack of respect for the rule of law, weak fundamentals of appropriation templates and contract management and poor accounting systems are the critical factors undermining the ability of these pillars to positively influence fiscal outcomes in Nigeria. Thus, the need to critically improve the index of capture, budget institutions and the coordination of the MDA’s capital budgeting system through integrated and systematic accounting system cannot be overemphasized.
