DFSA publishes Audit Monitoring Report for enhanced audit oversight

The Dubai Financial Services Authority (DFSA) published today its 8th Audit Monitoring Report, providing key findings from inspections of Registered Auditors conducted in 2022 and 2023.

Over the past two years, the DFSA has completed a record number of inspections to ensure that audit quality within the Dubai International Financial Centre (DIFC) remain rigorous and reflective of global best practices.

The report analysed financial statement audits, regulatory engagements, and anti-money laundering, and reveals a significant decline in audit quality, mirroring global trends.

The findings also outline the measures taken by the DFSA to address some of the challenges faced by auditors – underscoring its commitment to maintaining the highest standards of audit quality and regulatory oversight.

In addition, aligned with global principles of transparency and accountability observed by audit regulators, the report reinforces the importance of integrity and reliability of financial regulations. By adhering to these principles, the DFSA ensures that the financial practices within the DIFC are transparent, accountable, and trusted globally.

Ian Johnston, Chief Executive of the DFSA, said, “Robust audit oversight is crucial for trust in our financial systems. This report outlines both the challenges we face and the proactive measures we are taking to ensure audit quality meets global standards. It is critical that the audit profession responds promptly and meaningfully to improve audit quality.”