Under the new system, payment of bills and other financial details of the departments will be made available online.
The decision to put in place the system was taken at a cabinet meeting presided over by Chief Minister Sheila Dikshit.
"We have decided to introduce the IT-enabled financial accounting and management system as part of efforts to ensure transparency," Dikshit said.
Officials said though the government computerised various transaction of departments and agencies still it was decided to introduce an integrated financial management system so that all financial data could be tracked centrally.
"It would be a comprehensive system for streamlining and automating the entire financial accounting and management activities of the government," they said.