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Emerging Issues and Outreach Committee

Objective

The objectives of the Emerging Issues and Outreach Committee (EIOC) are to:

(a) To identify developments in the external environment around the world, outside of the Board’s strategic planning process, that may have implications for the Board’s strategy and work plan, require Board action or otherwise merit Board attention; and

b) To advise the Board on ways to enhance the effectiveness of the Board’s outreach efforts, including with respect to the scope and focus of, and general approach to, its outreach activities.

PROJECT CONTACT
WORKING GROUP

 

IESBA March 2023 Meeting Highlights 

The IESBA considered an update from the EIOC regarding recent significant external developments, including the FTX collapse and the exponential growth of generative Artificial Intelligence (AI) such as ChatGPT. The IESBA considered and shared reflections regarding the potential ethical concerns or challenges arising from those developments, and agreed to keep a watching brief on the developments in the near term.

The IESBA also received a brief update on a May 2022 Position Paper issued by the Netherlands Authority for the Financial Markets (AFM) on audit firms’ approach to fraud and fraud risks at audited entities. The IESBA was also briefed on the IAASB’s project to revise ISA 240, The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements. The IESBA agreed to close coordination with the IAASB on the ISA 240 project, such coordination being especially important in light of the Dutch AFM’s Position Paper.

The IESBA will consider the next EIOC update at its September 2023 meeting.