It is true but a sad contementary that overdependence on conventional accounting data aggravated by lack of timely availability of accounting data for budget preparation and presentation year after year by policy makers have resulted in wrong policy prescriptions to steer the economies on organic development path leading to persistently growing budget deficits for maintaining and financing non-performing assets evidenced by data analysis for selected countries. The present study has attempted to critically analyse the crucial issues from a financial management view point to come out with workable solutions to get over stagflationary problems facing the countries