Revisiting the implementation of accruals based accounting within the Maltese Government financial system : a qualitative study

Abstract

Purpose The principle aim of this study is to seek the reasons why the implementation of accruals based accounting in Malta has not yet materialised. Any issues that emerged in the progress towards such implementation were identified and suitable recommendations were provided. Design This qualitative study encompasses a literature review which compliments the conceptual issues identified through the interviews held. The research collection method used was semi-structured interviews which were held with participants who were purposefully chosen. Findings It is clear that there have been lack of planning in the developing stages towards the implementation of accruals based accounting. This can be deduced from the many issues that arose during the interviews held. The most acute of the problems was undoubtedly the mismanagement of accruals based accounting training provided to the Maltese public sector employees. Value Notwithstanding the fact that Maltese private sector entities have benefited a lot from the advances in the Maltese Accountancy Profession, the local public sector is lagging behind in this aspect. This dissertation has contributed further in establishing the necessity of engaging and retaining qualified staff within the Maltese public sector, thus, providing the technical expertise necessary to fulfil the shift to accruals based accounting.