Digitalization of financial reporting in local governments of three montenegrin regions – Current situation and perspectives

Abstract

The aim of this paper is to analyse the level of digitalized financial reporting process in local governments of three different Montenegrin geographic regions and to estimate the level of harmonization with the modern achievements in the domain of computerization of accounting systems. For that purpose, two research approaches (direct insight and survey) are used to examine the general hypothesis. This hypothesis states that the digitalization of financial reporting in different regions in Montenegro depends on the level of the accounting culture of companies, but also on their size, activities and normative acts. The fact that similar research has not been previously conducted in Montenegro, or in the neighbouring countries, which makes this study an original contribution.