Work

Factors influencing the adoption of IFRS in the MENA region: A neo-institutional approach

Year: 2024

Type: article

Abstract: This study examines the factors shaping the choices of countries in the Middle East and North Africa (MENA) region in adopting International Financial Reporting Standards (IFRS), using a neo-institutional isomorphism framework. Analysing data from 19 countries spanning two decades (1996–2015) and comprising 380 country-year observations, this research reveals that internal coercive and mimetic institutional pressures are key influencers behind IFRS adoption in the region. Specifically, governance quality improvement and openness to international trade emerge as crucial determinants. This highlights the predominant role of social and political contexts over economic motivations in driving IFRS adoption in the MENA region. Furthermore, the findings indicate that foreign aid and internal accounting have minimal impact on IFRS adoption in the region.

Source: Journal of International Accounting Auditing and Taxation

DOI: 10.1016/j.intaccaudtax.2024.100674

Authors: Abdulbaset Ab. Klish, Moade Shubita, Kamil Omoteso, Junjie Wu

Institutions: Leeds Beckett University, University of Derby

Language: English

Topic: Auditing, Earnings Management, Governance

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: hybrid

Estimated APC paid: $3,230

Funders: Leeds Beckett University, Strong