Ghana : Accounting and Auditing
This report provides an assessment of accounting and auditing practices within the context of the Ghana institutional framework to ensure the quality of corporate financial reporting. The accounting and auditing practices in Ghana suffer from insti...
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| Language: | English en_US |
| Published: |
Washington, DC
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2004/06/8359390/ghana-report-observance-standards-codes-rosc-accounting-auditing http://hdl.handle.net/10986/14531 |
| Summary: | This report provides an assessment of
accounting and auditing practices within the context of the
Ghana institutional framework to ensure the quality of
corporate financial reporting. The accounting and auditing
practices in Ghana suffer from institutional weaknesses in
regulation, compliance, and enforcement of standards and
rules. Various weaknesses were identified in the laws and
regulations governing financial reporting. Although Ghana
Accounting and Auditing Standards have been based on
International Accounting Standards and International
Standards on Auditing, respectively, they are outdated and
gaps exist in comparison with the international equivalents.
Furthermore, national ethical requirements for auditors are
not in line with international requirements. Full compliance
with Ghana National Accounting Standards is not readily
achieved; some listed companies inappropriately claim
compliance with International Accounting Standards. There is
inadequate adherence to auditing standards and professional
ethics. Apart from the banking sector practice, monitoring
and enforcement mechanisms are ineffective. These factors,
as well as poor quality accounting education and training,
have contributed to weaknesses of the financial reporting
and auditing regime. The policy recommendations provided in
this report focus on improving statutory framework,
strengthening enforcement mechanisms, upgrading professional
education and training, and enhancing capacity of regulatory
and professional bodies. |
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