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The Development of Accounting in the Franc Zone Countries in Africa

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  • Elad, Charles

Abstract

This paper develops a taxonomy of the different accounting systems that have evolved in Africa from the colonial era, through the early years of independence, to modern times. A preliminary test of the classification scheme for the current era of International Financial Reporting Standards (IFRS) was carried out using data from a PricewaterhouseCoopers (2011) survey. The results confirm Nobes' (2008) hypotheses on patterns of national reaction to IFRS. The results also show that a distinctive approach to financial accounting, which is alien to Anglo-American practitioners, and modeled on long-established French traditions, is still entrenched in Africa's franc zone countries in the 21st century, despite sustained pressure from the World Bank and the International Monetary Fund for large entities to adopt IFRS. These findings provide some evidence against Alexander and Archer's (2000) claim that the contemporary notion of “Anglo-Saxon accounting” is a myth.

Suggested Citation

  • Elad, Charles, 2015. "The Development of Accounting in the Franc Zone Countries in Africa," The International Journal of Accounting, Elsevier, vol. 50(1), pages 75-100.
    • Handle: RePEc:eee:accoun:v:50:y:2015:i:1:p:75-100
    DOI: 10.1016/j.intacc.2014.12.006
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    17. Nobes, Christopher, 2003. "On the myth of "Anglo-Saxon" financial accounting: a comment," The International Journal of Accounting, Elsevier, vol. 38(1), pages 95-104.
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    Cited by:

    1. Ndaka, Angella & Lassou, Philippe J.C. & Kan, Konan Anderson Seny & Fosso-Wamba, Samuel, 2024. "Toward response-able AI: A decolonial perspective to AI-enabled accounting systems in Africa," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 99(C).
    2. Gatluak Gach Chuol Thony & Anthony Duku Peter, 2023. "The Impact of Adoption of International Financial Reporting Standard on Quality of Accounting Information in South Sudan: A Case Study of Kenya Commercial Bank and Cooperative Bank," International Journal of Science and Business, IJSAB International, vol. 19(1), pages 28-48.
    3. Elad, Charles & Shah, Neeta & Agyeman, Charles, 2023. "Accounting classification in the era of International Financial Reporting Standards: The case of Africa," Journal of International Accounting, Auditing and Taxation, Elsevier, vol. 51(C).
    4. Isabel Costa Lourenço & Raquel Sarquis & Manuel Castelo Branco & Nuno Magro, 2018. "International Differences in Accounting Practices Under IFRS and the Influence of the US," Australian Accounting Review, CPA Australia, vol. 28(4), pages 468-481, December.
    5. Nobes, Christopher, 2018. "Lessons from misclassification in international accounting," The British Accounting Review, Elsevier, vol. 50(3), pages 239-254.
    6. Lassou, Philippe J.C. & Hopper, Trevor & Tsamenyi, Mathew & Murinde, Victor, 2019. "Varieties of neo-colonialism: Government accounting reforms in Anglophone and Francophone Africa – Benin and Ghana compared," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 65(C).
    7. Khandokar Istiak & John Reid Cummings & Robert Forrester & Macy Adams, 2024. "Examining the Impact of Vulnerability and the Law of Justice on the IFRS Adoption Decision," JRFM, MDPI, vol. 17(9), pages 1-16, September.
    8. Christopher W. Nobes & Stephen A. Zeff, 2016. "Have Canada, Japan and Switzerland Adopted IFRS?," Australian Accounting Review, CPA Australia, vol. 26(3), pages 284-290, September.
    9. Seny Kan, Konan A. & Agbodjo, Serge & Gandja, Serge V., 2021. "Accounting polycentricity in Africa: Framing an ‘accounting and development’ research agenda," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 78(C).

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    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations

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