Institutionalizing accrual budgeting and accounting through a uniform legislation: Une expérience á la Camerounaise

Abstract

Abstract This paper traces the use of accrual accounting in a tradition where a uniform code-based accounting chart is imposed on all levels of government. Operating within a hybrid of Franco-German and Anglo-Saxon accounting heritage, local government in Cameroon experienced some hurdles in practicing accrual accounting for over a decade. It becomes therefore pertinent to examine the motivation towards the move to accrual accounting and the extent to which accrual data is used for financial reporting and decision-making. The study is hinged on a triangulation in qualitative research, with a case study, interviews and documentary analysis. New Public Management and the institutional theories are used as a framework to broaden the understanding of the practice of accrual as an accounting choice underpinning reforms in the Cameroon public sector. It was revealed in this study that the normative and coercive isomorphic pressures influenced the adoption and practice of accruals in councils. In order to appear legitimate and for fear of being sanctioned, council authorities had to produce some accrual-based financial reports at all cost, even though these reports were hardly used for management decisions making.