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Introduction
The purpose of this paper is to contribute to the development of a policy model for the accounting and auditing profession that fits the current fragmented regulatory context of the UAE. A professional policy model offers a high-level outline of the functioning of professional service provision and consumption in a specific regulatory landscape. It defines a particular way of "[...] resolving intellectual questions, making choices among alternative accounting treatments, and defending the policies which have been adopted" ([8] Buckley, 1980, p. 49). This paper seeks to discuss those activities with reference to some of the key participating groups, such as the Ministry of Finance, the Ministry of Commerce, the Big Four audit firms (PwC, KPMG, Deloitte, Ernst & Young), small- and medium-sized indigenous audit firms, university students and, particularly, women students and some practitioners.
In the process of economic globalization the UAE have adopted various institutional elements of modern accountancy. International financial reporting standards (IFRS) are important for attracting foreign capital. The GCC Accounting and Auditing Organization (GCCAAO) is charged with the oversight of accountancy, as is the UAE Ministry of Finance. They rely partly on American practice used for the Certified Public Accountants (CPA) qualification but also on UAE legislation. Other regulatory institutions pronounce on the adequacy of financial practices from an Islamic perspective. At the same time accounting and auditing practices from around the globe are being imported into the UAE through the sizeable expatriate professional workforce. Among those the Big Four auditors form a powerful group with special interests which arise in part through the economies of scale that they enjoy in regards to the standardized training and sales opportunities of audit and other services afforded by globalization in accounting.
Those various forces for globalization are, however, meeting with a family-oriented business culture in which long-term business relationships between well-known parties have, on the whole, been more important (and perhaps greater accountability) than more recent notions of market transparency, accountability, and corporate governance. Financial reporting and auditing do not, therefore, enjoy as good a reputation with international investors as might be expected from an ambitious economy with, until recently, very high growth rates.
A key question for the UAE's future participation in the global economy would be how best to...