The Malaysia Securities Commission’s Audit Oversight Board (AOB) published its Annual Inspection Report 2024, setting out findings from its supervision of registered audit firms and individual auditors and reporting an improvement in audit quality, with enforcement cases across inspected engagements falling to 8% from 16% in 2023. The 2024 inspection programme assessed 40 partners and 40 audit engagements across 13 audit firms, including the Major Audit Firms. Nine Major Audit Firms collectively audit 76% of public-listed companies, representing 95% of total market capitalisation in Malaysia, and audit 1,319 Schedule Funds accounting for 99% of the nationwide total net asset value. The report also presents Audit Quality Indicators for registered audit firms and notes firms’ efforts to address resource adequacy and high staff turnover, while urging consistent audit quality across engagements, improvements in quality management systems (including monitoring and implementation of internal quality controls), and stronger oversight of areas such as auditor resignations and remediation effectiveness. The full report is available via the Securities Commission Malaysia website.
Malaysia Securities Commission 2025-08-21
Malaysia Securities Commission Audit Oversight Board publishes Annual Inspection Report 2024 with enforcement cases down to 8%
The Malaysia Securities Commission’s Audit Oversight Board published its Annual Inspection Report 2024, highlighting improved audit quality with enforcement cases dropping to 8% from 16% in 2023. The report assessed 40 partners and 40 audit engagements across 13 firms, noting efforts to address resource adequacy and high staff turnover. It urges consistent audit quality, enhanced quality management systems, and stronger oversight of auditor resignations.