Article2004

Public sector accountability failure in an emerging economy

54 citations0/0 files storedInternational Journal of Public Sector Management

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Public Policy and Administration Research Public Administration in Developing Nations Corruption and Economic Development

Abstract

Adoption of new public sector management (NPM) is commonplace in both developed and emerging economies. One premise of NPM is that an effective accountability mechanism is in place. It is argued here that where bad management and corruption are present, this fundamental accountability mechanism may fail for two reasons. These are considered further through the situation existing in Fiji in relation to problems experienced at the National Bank of Fiji (NBF). The demise of the NBF provides an example of a country where NPM has been introduced, where poor management and corruption are entrenched and where accountability has not worked because parties do not provide a proper account of their actions. This scandal illustrates the need for proponents of NPM to consider the context into which the system is being fitted, such as poor management, the extent of corruption and presence of political favours, when considering the net benefits likely to arise from its introduction.

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References

1995The “new public management” in the 1980s: Variations on a theme 1988Towards a Theory of Cultural Influence on the Development of Accounting Systems Internationally 1980The roles of accounting in organizations and society 2005The Roles of Accounting in Organizations and Society 1983On trying to study accounting in the contexts in which it operates 1999Debating Developments in New Public Financial Management: The Limits of Global Theorising and Some New Ways Forward 2003An Introduction to Corporate Environmental Management: Striving for Sustainability 1999Changing public sector accountability: critiquing new directions

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