NFRA establishes new advisory committee to focus on audit quality and technology

The National Financial Reporting Authority (NFRA) has constituted a specialized advisory committee to improve standards in audit quality, assurance, and technology. According to official information released by the PIB, this initiative was taken to effectively execute the authority's functions under the NFRA rules.

The committee includes distinguished experts from various sectors, such as professionals, CFOs, members of audit committees, independent directors, technology experts, and representatives from regulatory bodies. This group will provide valuable suggestions and inputs on critical matters affecting audit quality.

The NFRA stated that the committee will work to raise awareness regarding auditing, accounting standards, and the quality of audits. This is the third such committee formed by the NFRA. Previously, a technical advisory committee was established in 2020, which concluded its term in 2022.

In July 2024, the NFRA also formed an advisory group. Its primary objective was to provide advice on resources for audit committees and to promote outreach activities with independent directors.

The formation of the new committee is in accordance with the NFRA Rules of 2018. These rules authorize the authority to form committees, study groups, and task forces to enhance the effectiveness of auditing operations.

Members of the committee have been selected to ensure representation from various stakeholder groups. This approach is expected to bring transparency and technical efficiency to auditing processes.

Detailed information regarding this advisory committee and previously formed groups has been made available on the official NFRA website. The authority believes that continuous consultation with experts will lead to improvements in financial reporting standards.