The use of public-sector financial reports : a comparative analysis of different information-user groups

english

2025

volume 23, issue 1

economic growth   European funds absorption   government quality

Univerza v Ljubljani, Fakulteta za upravo
(Obvezni izvod spletne publikacije)

Purpose: This paper investigates the extent to which different user groups in the public sector consult financial reports. Because these re­ports are prepared for a wide audience, we examine whether the in­tended recipients actually use them and explore variations in how—and why—they are used. Design/methodology/approach: The study concentrates on politicians and public managers, adopting a quantitative design. A bespoke ques­tionnaire was developed and administered by telephone across the Re­public of Croatia between February and April 2022. Split-half factor analy­sis, t-tests and ?2 tests were employed to identify differences in both the frequency of use and the reasons for use between the two groups. Findings: Respondents reported that they both receive and actively consult financial reports. Public managers use the reports significantly more often than politicians. Nevertheless, financial reports are gener­ally treated as secondary sources, whereas budget-execution reports are consulted more frequently. The analysis suggests that information rel­evance and the respondent’s role are the principal determinants of use. The reliance on a single questionnaire instrument constitutes a limita­tion, discussed in the cited literature. Research limitations/implications: Future research could incorporate additional data-collection methods (e.g. interviews or document analysis) and extend the study to other jurisdictions to enhance generalisability. Originality/value: The study adds empirical evidence to the internation­al debate on the purpose of public-sector financial reporting and clarifies how specific factors shape report use or non-use.

25.11.2025