On the management and financial reporting for state assets—a comparative analysis between Croatia and New Zealand

ABSTRACT

This paper analyses management and financial reporting for state assets in two countries: Croatia and New Zealand (NZ). Therefore, it compares a ‘novice’ country in terms of public sector assets treatment with a ‘mature’ one. The authors use a qualitative research method, reviewing relevant institutional and non-institutional documents in the field of management and accounting for assets in public sector. They conclude that the possibility of applying developed countries’ experiences and wider international trends for state assets management in ‘transition’ countries depends greatly on a variety of factors that have influenced the development of those countries and factors that encompass both specific national and international forces. The paper contributes to the existing literature on management, accounting and reporting for state assets in different jurisdictions.

IMPACT

How public sector assets should be accounted for and managed has been debated for over 30 years. Recent discussion has included whether or not it is possible to apply developed countries’ experiences to transitioning countries. This paper compares reporting and management in New Zealand (NZ) and Croatia and will be of value to national and international standard setters and political and professional bodies in the EU.

KEYWORDS:

• Accounting
• country comparison
• Croatia
• financial reporting
• New Zealand (NZ)
• public sector
• regulation
• state assets management

Acknowledgments

This paper was supported by Croatian Science Foundation's (CSF) funding of the research project 8509 ‘Accounting and financial reporting reform as a means for strengthening the development of efficient public sector financial management in Croatia’. Any opinions, findings, and conclusions or recommendations expressed in this paper are those of the authors and do not necessarily reflect the views of CSF. An earlier version of this paper was presented at the 14th CIGAR Workshop, in Zagreb, Croatia, in July 2018.

Disclosure statement

No potential conflict of interest was reported by the author(s).