Oman’s Financial Services Authority (FSA) published an update on its stepped-up oversight of the accounting and auditing profession, reporting more than 45 supervisory, awareness and development actions and enforcement measures taken following assessments of licensed firms. The work has resulted in four firms being deregistered, three firms receiving warnings and two firms being suspended from practice. Supervisory activity included nine field visits, seven workshops and meetings, 11 stakeholder engagements and 10 collaborative initiatives with local and international entities. Desk-based and field examinations identified unlicensed individuals and entities practising in breach of the law, audit reports signed by unauthorised persons, and failures to retain audit files and working papers for the legally required ten years. The FSA also highlighted shortcomings against International Standards on Auditing, including missing engagement letters (ISA 210), deficient audit documentation (ISA 230), insufficient audit evidence (ISA 500), weaknesses in addressing related-party transactions (ISA 550), non-compliant audit report structure and opinion formation (ISA 700), and failures to document materiality thresholds (ISA 320). Alongside operational supervision, the FSA has appointed a specialist consultancy to review the existing legal framework for the profession, benchmark global practices and support alignment of the legislative framework with relevant government direction.
Oman Financial Services Authority 2026-04-01
Oman Financial Services Authority tightens supervision of audit firms and deregisters four while flagging ISA compliance weaknesses
The Oman Financial Services Authority intensified oversight of the accounting and auditing profession, resulting in more than 45 supervisory and enforcement actions, including four firm deregistrations, three warnings and two suspensions. Inspections identified unlicensed practice, audit reports signed by unauthorised persons, failures to retain audit documentation for ten years, and breaches of International Standards on Auditing. The authority also engaged a specialist consultancy to review and align the legal framework with global practices and government direction.