Public sector accounting reforms and the quality of governance

Abstract

[EN] This study focuses on two key issues characterising the current public financial management debate, namely the quality of governance, and public-sector accounting reforms. By investigating a sample of 33 Organisation for Economic Co-operation and Development (OECD) countries for the period 2010–2014, results suggest that states which have implemented public-sector accounting reforms (through the adoption of accrual-based accounting systems and the implementation of International Public Sector Accounting Standards) have a higher level of governance quality. More specifically, results suggest a positive influence on the level of accountability, government effectiveness, regulation quality, the rule of law, and controlling corruption; while political stability is not affected by such reforms.