Asset management is crucial, especially when reporting and valuing the asset in the financial statements. Efficiency problems might arise when some resources are misused or not utilised at all. The Malaysian government is considering converting its financial statements preparation from a cash basis to a full accrual accounting system. However, there have been numerous delays in it’s implementation. Along with the transition from a cash basis to accrual basis accounting, a system known as Sistem Perakaunan Akruan Kerajaan Negeri (iSPEKS) has been established for local governments. When it comes to assets, the system is utilised to record newly acquired assets using historical costs, with valuation and impairment checks being done occasionally. However, the conservative historical cost measuring approach has drawn criticism because it does not reflect the current asset value. This leads to the International Public Sector Accounting Standards Board (IPSASB) introducing a different methodology known as the Current Operating Value (COV). COV is a principles-based measurement that reflects the value of an asset held for its operational capacity in its current use and claims to be able to resolve the challenges of applying fair value basis in measuring operational capacity using market, cost, and income. This approach gives a precise indicator of the property's current value. The Malaysian Institute of Accountants (MIA) however, asserts that COV will result in improper measuring bases for items in the property, plant, and equipment (PPE) class that differ in terms of their features, measurement goals, and financial information. The scope to which COV can be the optimum method for appraising assets in public sectors will therefore be examined in this study. The best method will be recommended to assist the government in implementing a systemic and comprehensive approach to asset management and measurement.