*2.1. Background*

In the early 60s, antecedent to the acquisition of independence by most African countries, accounting practices where still those inherited from colonial masters. The companies in the areas of the Economic and Monetary Union of West Africa (WAEMU) and the Customs and Economic Union of Central Africa (CACEU) continued to use the French accounting systems in 1947 and 1957 (Dicko and Fortin 2014; Fossung 2016; Mayegle 2014; AICPA 2019). It was only until the Africans conceived their unity in 1963 and decided to create the Common African and Mauritian Organisation (OCAM) accounting plan in 1965. This was before the convergence of the WAEMU and CACEU. OCAM lived for 15 years, but during those years there still existed many accounting standards;

the legal framework was confused and as such it resulted in a very unfavourable business climate and sub-standard financial reporting. The effects of this on some sectors were inconsistent financial records and the mismatch of some accounting works. This led the African States and certain groups to develop new accounting information systems and specific accounting plans for the credit institutions (Central Africa Banking Commission (COBAC) chart of accounts and the insurance companies (Dicko and Fortin 2014; Riasi 2015; Riasi and Aghdaie 2013; Fossung 2016)).

In response to these challenges, the Organisation for the Harmonisation of Business Laws in Africa (OHADA) was established in Port Louis, Mauritius, on 17 October 1993. The fledgling entity was launched under the treaty for the Harmonisation of Business Law in Africa, a document signed by 16 African countries (and later became 17). The objective of OHADA was to develop modern business laws relevant to conditions in Africa, promote better economic integration across the continent and encourage its harmonious development. Before the adoption of OHADA, investors had to deal with different and sometimes confusing laws in each country (Fossung 2016; Dicko and Fortin 2014). Although OHADA was initially designed for countries in the Franc zone, it now welcomes any African state, irrespective of whether it is a Francophone African countries. OHADA's primary goal is to improve the investment climate. Its Uniform Acts, including the Act on about accounting, are directly applied in all member states and supersede any existing legislation with conflicting provisions (Paillusseau 2004). Amongst the different OHADA Uniform Acts was the UNIFORM ACT of 24 MARCH 2000 on the harmonisation of the accounts of enterprises. After being in use for more than seventeen years, this Act was revised to converge with the IFRS in response to the global pressure of international accounting harmonisation.
