ICAI Dubai Organises Conclave on Emerging Standards on Auditing, Public Policy, and Crypto in Dubai

The Institute of Chartered Accountants of India (ICAI) recently organized a noteworthy conclave in Dubai, focusing on emerging standards in auditing, public policy, and the crypto industry. The event brought together experts, professionals, and policymakers to discuss and exchange insights on these crucial topics.

The conclave emphasized the evolving nature of auditing standards in response to the dynamic business and technological landscapes. It highlighted the importance of staying abreast of emerging standards in areas such as financial reporting, risk assessment, internal control evaluation, and ethical considerations.

One of the international standards discussed at the event was ISQM1, which provides guidance on quality management principles for assurance engagements. ISQM 1, an international standard developed by the International Auditing and Assurance Standards Board (IAASB), aims to enhance the systems of quality management within audit firms. By adopting a robust, proactive, and effective approach, the standard encourages firms to design tailored quality management systems that align with their specific nature and circumstances.

Abdullah AlHammadi, Director of the Auditors Department at the Ministry of Economy in the UAE, addressed several legal aspects related to the implementation of new provisions and compliance norms. In his discussion, he highlighted the importance of ensuring adherence to regulatory requirements and the need for comprehensive compliance frameworks. Mr. AlHammadi emphasized the significance of legal compliance in promoting transparency, accountability, and trust in the business environment.

The Institute of Chartered Accountants of India (ICAI) has also proposed solutions to address crucial issues concerning the recognition of its qualification and the equivalency of degrees for audit licensure. To ensure the professional standing of its members in the auditing field, ICAI suggests including its qualification for audit license examination exemptions, on par with six other institutes. Existing qualification reciprocity agreements with CPA Canada, CA ANZ, and the Institute of Chartered Accountants in England & Wales support this proposal.

ICAI highlights that Indian Accounting & Auditing Standards, integral to the ICAI curriculum, align with global standards. Expert knowledge in these subjects equips ICAI members to meet international auditing standards. The Comprehensive Economic Partnership Agreement (CEPA) between India and the UAE recognizes the ICAI qualification under Article 8.11, solidifying the professional standing of ICAI members in the UAE.

To address a terminology gap, ICAI proposes equalizing the Bachelor's in Commerce degree issued by Indian universities with a Bachelor's in Accounting for audit licensure in the UAE. This adjustment streamlines the qualification process for Indian professionals seeking audit licensure.

ICAI's proposed solutions demonstrate its commitment to enhancing professional recognition and promoting global standards for its members. These efforts aim to strengthen bilateral ties between India and the UAE, facilitating the exchange of qualified auditing professionals and fostering professional growth in both countries. These measures are expected to benefit auditors, businesses, and economies, upholding the highest professional standards in the auditing field.

Furthermore, the event delved into the subject of crypto audits and the dynamic nature of crypto reserves. The speaker shed light on this intriguing and fast-changing field, highlighting recent failures resulting from non-compliance, such as the case of FTX.

A key highlight of the event was the emphasis on maintaining the quality of auditing and preserving the essence of independent evaluation. The discussions also touched upon international standards for quality management, including those established by the PCAOB for audits of public companies 

The event emphasized that quality should never be compromised in auditing, and the essence of independent evaluation remains intact. International standards on quality management, including the standards established by the PCAOB for audits of public companies and broker-dealers, were also discussed.The ICAI Dubai Chapter continues to support the implementation of VAT in the UAE through various programs, publications, courses, and e-learning initiatives.