Public Sector Accounting Reforms in Two South Asian Countries: A Comparative Study of Nepal and Sri Lanka

Many developing countries have endeavoured to introduce public sector accounting reforms. However, little research has so far been devoted to studying the ongoing public sector reforms covering accounting and budgeting reforms in developing nations. Moreover, albeit comparative studies on this subject matter have increased in recent years, the latter is confined within the purview of developed nations. Given this lack of knowledge along with the paucity of comparative research covering developing nations, the present paper aims at tracing and, in so doing, comparing the forces behind public sector accounting reforms in two developing countries, namely Nepal and Sri Lanka. The findings of the study suggest that reforms in both countries have been much affected by overseas developments, reflecting the NPM and NPFM trends.