The IFAC Nominating Committee is seeking to fill seven vacancies on the International Public Sector Accounting Standards Board (IPSASB), including one for a public member. These Board Members will serve an initial term of up to 3 years, commencing January 1, 2021.

To enhance diversity on the Board, the Nominating Committee is particularly interested in receiving nominations of female candidates and nominations from the following regions: Asia, Africa-Middle East, and Latin America-Caribbean.

Candidates will ideally have a public sector background, a strong interest in technical accounting issues and/or experience in standard setting to be able to contribute value to the work of the Board. English proficiency is essential, as this is the language in which the IPSASB operates.

Nominations from a wide range of relevant backgrounds are sought, including, but not limited to, candidates from:

• Preparers of accrual-based financial statements, such those reporting directly or indirectly in accordance with IPSAS or being in the process of transitioning to IPSAS or another accrual-based accounting framework.
• Ministries of Finance and Treasury departments.
• International and regional development organizations.
• Public sector external auditors.
• Users of general purpose financial reports, such as parliamentarians, budget offices, and credit-rating agencies.

All stakeholders, including the general public, IFAC member organizations, and the Forum of Firms are invited to nominate candidates.

The IPSASB is an independent standard-setting body that serves the public interest by setting high-quality accounting standards for use by public sector entities around the world in the preparation of general purpose financial reports.

Deadline for submitting applications is January 31, 2020. Please see the Call for Nominations for more details and information on how to submit an application.

• Analysis explains linkages and key differences between IESBA’s FCG viewpoints and ISQM 1.
• Highlights their mutually supportive nature and key differences in their objectives, scope, output, and focus.
• Developed in close coordination with the IAASB, responding to calls from stakeholders.

The International Ethics Standards Board for Accountants (IESBA) has released the complete analysis of the linkages between the International Standard on Quality Management (ISQM) 1 and the IESBA’s Firm Culture and Governance (FCG) viewpoints.

Developed in close coordination with the International Auditing and Assurance Standards Board (IAASB), the paper responds to calls from stakeholders as well as IESBA and IAASB members to recognize and clarify the linkages between the two.

The analysis explains, at a high level, how the FCG viewpoints and ISQM 1 could interact, demonstrating their mutually supportive nature while recognizing the clear distinctions in their objectives, scope, output, and level of specificity as regards firm culture and governance:

• ISQM 1 requires firms that perform engagements within the scope of IAASB’s engagement standards to establish a system of quality management to enable the consistent performance of quality engagements and issuance of appropriate reports. It requires that the firm demonstrates a commitment to quality through a culture that exists throughout the firm, which recognizes and reinforces, among others, the importance of professional ethics, values, and attitudes.
• The IESBA FCG viewpoints focus on how firms can develop a strong ethical culture by embedding and prioritizing ethical values within the whole firm through eight elements of firm culture and governance.

While this paper seeks to explain the linkages between the FCG viewpoints and ISQM 1, it does not purport to be a like-for-like assessment. ISQM 1 is a standard already in effect. By contrast, the IESBA FCG viewpoints represent high-level, principles-based perspectives on key elements of firm culture and governance developed to support stakeholder engagement on advancing the development of a global FCG framework. The FCG viewpoints do not constitute a standard.

The IESBA will continue outreach and consultation with stakeholders in the coming months, with a view to informing a Board decision on the approach to the development, structure, and authority of such a FCG framework.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

Contact Information:

Rui Peres Jorge 
Director, Strategy and Communications 
International Ethics Standards Board for Accountants (IESBA) 
ruiperesjorge@ethicsboard.org | Direct: +351 966-301-383

Zsolt Bobis 
Lead, Communications 
International Ethics Standards Board for Accountants (IESBA) 
zsoltbobis@ethicsboard.org

• IESBA to analyze ethical and independence implications of private equity investment in accounting firms.
• It will assess the need for standard setting on alternative practice structures.
• In its March meeting, IESBA also agreed to develop new guidance on technology and AI, enhance its support for global implementation of the sustainability standards, and review the practical implementation of key ethics standards.

The International Ethics Standards Board for Accountants (IESBA) has agreed to launch a dedicated workstream to analyze issues relating to private equity investment in accounting firms from an ethical perspective. The objective is to assess the need for standard setting addressing alternative practice structures (APS), including those involving private equity investment.

The decision follows the previously published IESBA Staff Alert on Private Equity Investment in Accounting Firms (July 2025) and consideration of recent developments related to private equity investment in accounting firms, including a recent analysis by the International Federation of Accountants on the prevalence of such reality and the American Institute of Certified Public Accountants (AICPA) Professional Ethics Executive Committee’s December 2025 Exposure Draft on Proposed Revisions to the AICPA Code Related to Alternative Practice Structures.

The newly launched workstream will gather information and undertake analysis to support the IESBA’s assessment of whether a formal standard setting project is needed to address ethical considerations related to APS around the world. An update on the Private Equity Investment workstream is expected to be presented to the IESBA at its June 2026 meeting.

The Board also agreed on several other priority actions at its March 2026 meeting, including:

• Developing new non-authoritative guidance on technology and artificial intelligence to support professional accountants as the profession continues to evolve through technological transformations.
• Concentrating on global implementation of the IESBA’s sustainability standards ahead of their effective date this December.
• Issuing stakeholder surveys in early April to inform the post‑implementation review of the NOCLAR provisions and the Restructured Code, reinforcing the IESBA’s commitment to a comprehensive approach to standard-setting.

For more information, watch our recent “Message from the Chair” video and read the "IESBA Meeting Highlights and Decisions" document.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

Contact Information:

Rui Peres Jorge 
Director, Strategy and Communications 
International Ethics Standards Board for Accountants (IESBA) 
ruiperesjorge@ethicsboard.org | Direct: +351 966-301-383

Zsolt Bobis 
Lead, Communications 
International Ethics Standards Board for Accountants (IESBA) 
zsoltbobis@ethicsboard.org

The Public Interest Oversight Board’s (PIOB) Standard-Setting Boards Nominations Committee is now accepting applications for three practitioner vacancies on the International Auditing and Assurance Standards Board (IAASB), with terms beginning January 1, 2027. The application window remains open until May 3, 2026.

Serving as a member of the IAASB is a unique opportunity for experienced professionals to help shape global auditing and assurance standards in the public interest. These vacancies are for individuals who meet the Monitoring Group’s definition of a practitioner—those currently or recently affiliated with a public accounting firm within the last four years.

The PIOB seeks candidates with strong technical expertise and practical experience to support the IAASB’s delivery of its 2024–2027 Strategy and Work Plan and to help frame its 2028–2030 Strategy and Work Plan. In particular, candidates with experience in areas such as the application and implementation of International Standards on Auditing (ISAs), insights into network firm methodologies across jurisdictions, and knowledge of emerging topics—including technology and quality management—are encouraged to apply.

IAASB members play an increasingly strategic role within the IAASB’s multi-stakeholder composition of sixteen members. Supported by an expanded and enhanced technical staff, IAASB members help guide the development of relevant, timely, and high-quality international standards that strengthen trust and confidence in financial reporting worldwide.

In addition, the PIOB has issued an Invitation for Application for three vacancies on the International Ethics Standards Board for Accountants (IESBA)—including one practitioner and two non-practitioner roles—providing experienced professionals a chance to contribute to IESBA’s strategic development of ethics and independence standards in the public interest.

For more details on the nomination process, visit the PIOB’s nominations web page or contact SSBNominations@ipiob.org.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions

The Public Interest Oversight Board’s (PIOB) Standard Setting Boards Nominations Committee is now accepting applications for three vacancies on the International Ethics Standards Board for Accountants (IESBA), with terms beginning January 1, 2027. The application period closes on May 3, 2026.

Serving as a member of the IESBA offers a unique opportunity for experienced professionals to help shape global ethics and independence standards in the public interest. These vacancies include one practitioner, as defined in the Monitoring Group recommendations, and two non‑practitioners.

The PIOB seeks candidates with strong technical expertise and practical experience to support the IESBA’s delivery of its 2024–2027 Strategy and Work Plan and to help frame its 2028–2030 Strategy and Work Plan. In particular, candidates with experience in areas such as impact of technology, organizational culture, capital market, company and financial institution development are encouraged to apply.

IESBA members play an increasingly strategic role within the Board’s multistakeholder composition of sixteen members, helping guide the Board’s responsiveness to evolving public-interest needs. Supported by an expanded and enhanced technical staff, IESBA members provide strategic direction to the development of relevant, timely, and high-quality international standards that enhance public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

In addition, the PIOB has issued an Invitation for Application for three practitioner vacancies on the International Auditing and Assurance Standards Board (IAASB) providing experienced professionals a chance to contribute to IAASB’s strategic development of global auditing and assurance standards in the public interest.

Applications are welcomed from candidates worldwide, with particular encouragement for applicants from Asia, North America, and Latin America. Experience in jurisdictions with significant capital markets will be advantageous.

For more details on the nomination process, visit the PIOB’s nominations webpage or contact SSBNominations@ipiob.org.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

Contact Information:

Rui Peres Jorge 
Director, Strategy and Communications 
International Ethics Standards Board for Accountants (IESBA) 
ruiperesjorge@ethicsboard.org | Direct: +351 966-301-383

Zsolt Bobis 
Lead, Communications 
International Ethics Standards Board for Accountants (IESBA) 
zsoltbobis@ethicsboard.org

• IESBA has launched a new five‑part Firm Culture and Governance Update series exploring why strong ethical culture and governance frameworks matter, and the practical challenges accounting firms face in implementing them.
• The series supports deeper stakeholder engagement as part of IESBA’s Firm Culture and Governance Project and its Dialogues Initiative.
• Through interviews, case studies, and IESBA Viewpoints, the series aims to broaden global discussion and gather insights that will shape the future direction of the project.

The International Ethics Standards Board for Accountants (IESBA) has launched the Firm Culture and Governance Update, a new five‑part newsletter series dedicated to exploring the relevance – and the reality – of building strong ethical culture and governance within accounting firms.

As firms worldwide navigate growing complexity, heightened regulatory expectations, and increasing public scrutiny, culture and governance have become central to safeguarding trust in financial and non‑financial information and to supporting professional accountants in adhering to existing provisions in the IESBA Code of Ethics. This series aims to shine a light on those questions and gather meaningful insights from across the global ecosystem.

Over the coming months, the newsletter will feature:

• Perspectives from prominent leaders and experts in culture, governance, ethics, and management;
• Insights from firms piloting approaches to culture and governance;
• Highlights from IESBA’s Viewpoints which outline characteristics of eight key elements of a potential global framework for ethical firm culture; and
• Monthly updates on the engagement and ongoing discussions with stakeholders.

This month’s edition features Carmine Di Noia, Director for Financial and Enterprise Affairs at the OECD; practical insights from PKF-CAP in Singapore shared by its Managing Partner Eng Kian Lee; and a window on work being developed by the IESBA project team.

Building Dialogues

The series forms part of the broader IESBA’s Firm Culture and Governance Dialogues Initiative.

As part of this initiative, IESBA started in-person engagement with stakeholders in Asia early 2026, while also “designing and preparing the dialogues we will be having with stakeholders, from representatives of small to large firms to investors and regulators” in the coming months, explains in the first edition of the newsletter Kam Leung, IESBA Director leading the project.

The Dialogues Initiative aims to raise awareness and stimulate discussion about the Firm Culture and Governance project so that IESBA can better understand how different stakeholders view the need, scope and design of a global baseline on firm ethical culture.

Subscribe to the series here.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

Contact Information:

Rui Peres Jorge 
Director, Strategy and Communications 
International Ethics Standards Board for Accountants (IESBA) 
ruiperesjorge@ethicsboard.org | Direct: +351 966-301-383

Zsolt Bobis 
Lead, Communications 
International Ethics Standards Board for Accountants (IESBA) 
zsoltbobis@ethicsboard.org

The International Auditing and Assurance Standards Board (IAASB) has launched a public consultation survey as part of its post-implementation review of International Standard on Auditing (ISA) 540 (Revised), Auditing Accounting Estimates and Related Disclosures.

ISA 540 (Revised) established more robust requirements and appropriately detailed guidance to foster audit quality by driving auditors to perform appropriate procedures in relation to accounting estimates and related disclosures. The standard was effective for audits of financial statements for periods beginning on or after December 15, 2019.

This survey seeks input from a broad range of stakeholders and includes questions tailored to differing perspectives and experiences of various stakeholder groups. Survey feedback will help the IAASB assess whether:

• ISA 540 (Revised) has achieved its intended objective, including improvements or benefits arising from its application, as well as any practical challenges or questions encountered; and
• Any further actions by the IAASB are needed to address matters identified.

The survey focuses on three principal areas:

• Overall views on ISA 540 (Revised), including related to non-authoritative guidance and tools that were issued to support implementation of the standard;
• Perceived benefits resulting from implementation of the revised standard; and
• Potential issues, challenges, or impacts experienced or observed relating to ISA 540 (Revised).

Stakeholders may respond to all questions or only those most relevant to their perspectives. All responses will form part of the public record. The survey is open until June 15, 2026, and can be accessed online here.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.

• The role of CFOs is evolving rapidly, as organizations face growing uncertainty, accelerating technological change, sustainability demands, and other structural shifts.
• IESBA is inviting CFOs and other stakeholders who work with or oversee CFO functions to take part in dedicated global surveys examining the evolving role of CFOs and the ethical challenges that accompany this evolution, up until April 24.
• Insights from the surveys, together with IESBA’s global outreach activities, will inform IESBA’s decision on whether enhancements to the IESBA Code, guidance or other support for CFOs is warranted, with a decision expected by September.

The IESBA today launched two extended global stakeholder surveys to inform its Role of CFOs initiative, focusing on the evolving role of CFOs and equivalent senior finance leaders, the ethical challenges resulting from this evolution, and whether the IESBA Code remains clear, fit-for-purpose, and practical in the public interest.

Building on its CFO Pulse Survey conducted over the Summer of 2025, the two surveys are directed at CFOs or equivalent senior finance leaders, and at stakeholders who interact with or oversee CFOs.

The surveys explore four areas of interest:

• How the role of CFOs and other equivalent senior finance leaders has evolved and the ethical challenges they face;
• How effectively the IESBA Code supports ethical responsibilities and expectations;
• The nature and extent of involvement of individuals in CFO roles who are not members of a professional  accountancy organization (PAO); and
• Potential actions the IESBA could take, including enhancements to the IESBA Code, guidance or other resources, or other initiatives to support ethical leadership in finance functions.

 “The role of CFOs and other senior finance leaders continues to evolve beyond traditional financial stewardship. Given the importance and centrality of this role within companies and organizations, these surveys will enable the IESBA to better understand the realities of the role today, the ethical challenges individuals in this role face, and how the IESBA can continue to support their ethical leadership,” said Gabriela Figueiredo Dias, Chair of the IESBA.

CFOs or equivalent senior finance leaders (regardless of title or membership of any PAO), stakeholders who interact with or oversee CFOs (including PAOs), other professional organizations, regulators and oversight bodies, investors and stewardship groups, accounting firms, jurisdictional standard setters, those charged with governance, governance specialists, and academics are invited to respond to the surveys up until April 24.  

The surveys are anonymous and take approximately 10 to 15 minutes each to complete. They can be accessed here.

Outreach plans provide additional support to decision

The Role of CFOs initiative will also be informed by roundtables and focus group meetings in key markets during the first half of 2026, including Europe, North America, Africa, Asia, and Latin America.

The initiative aims to support CFOs and equivalent senior finance leaders in upholding high ethical standards that safeguard the integrity and reliability of financial and non-financial information on which investors, markets, regulators, and the public depend, and public trust in their organizations.

Informed by the survey results and stakeholder input, the project team will present preliminary findings at the June 2026 IESBA meeting, followed by a final report and recommendations at the September 2026 IESBA meeting.

To learn more about IESBA's role of CFOs initiative and follow updates, visit the Role of CFOs Focus Page.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

IESBA’s Snapshots provide short, non-technical overviews of IESBA projects and initiatives. They explain purpose, direction, and current focus in clear and accessible terms, alongside more detailed technical materials.

This Snapshot focuses on IESBA’s Role of CFO Initiative.

Q1. Why is IESBA examining the role of CFOs now?

In recent years, the role of Chief Financial Officers (CFOs) and other senior finance leaders has expanded significantly beyond traditional financial stewardship. CFOs are increasingly involved in areas such as sustainability reporting, data governance, technology oversight, and enterprise risk management.

These developments place CFOs at the center of decisions that affect the integrity and reliability of both financial and non-financial information relied upon by investors and markets, regulators, and the public. Understanding how this evolving role may shape ethical decision-making is a necessary first step before considering whether IESBA's existing ethical frameworks continue to provide appropriate support in these conditions.

Q2. What are the objectives of the “The Role of CFOs” initiative?

The objectives of the initiative are to better understand:

• How the CFO role is evolving across industries, sectors, and jurisdictions
• Whether this evolution has resulted in new or additional ethical challenges
• Whether the ethical framework in the IESBA Code remains clear, relevant, and fit for purpose in supporting ethical decision-making in these environments

The initiative is exploratory and evidence-based. Its purpose is to inform the Board’s understanding before any consideration of potential future actions.

Q3. Does this initiative assume that CFOs are facing ethical failures?

No. The initiative does not start from an assumption of ethical failure or misconduct.

Rather, it recognizes that roles, expectations, and decision environments have changed, and it seeks to understand whether existing ethical principles and guidance continue to operate effectively under these evolving conditions. The focus is on learning from experience.

Q4. What has IESBA learned so far?

Initial insights from a CFO pulse survey suggest significant diversity in CFOs’ professional backgrounds, ethical reference points, and sources of guidance. Many CFOs are not members of a professional accounting body and often rely primarily on employer-based codes of conduct rather than professional ethical standards.

These early findings highlight the importance of deeper and broader engagement to better understand which ethical frameworks are applied in practice and how, and where CFOs may experience ethical pressures or uncertainty in real-world decision-making.

Q5. What is IESBA focusing on in the current phase of work?

The initiative is currently in an information-gathering phase, drawing on:

• Research and analysis
• Extended surveys
• Stakeholder engagement, namely through global roundtables and focus group meetings

This phase is designed to explore where ethical challenges and pressures arise, how they are experienced, and how CFOs navigate them across different organizational, regulatory, and jurisdictional contexts. It is intentionally focused on evidence-gathering rather than conclusions.

Q6. Does this work signal upcoming changes to the IESBA Code or issuance of new guidance?

No decisions have been taken at this stage. The initiative seeks to assess whether existing provisions in the IESBA Code remain fit for purpose considering the evolving CFO role and associated ethical challenges. Any consideration of standard-setting, the development of guidance, or other initiatives will take place only after the information-gathering phase has concluded and following full deliberation by the Board.

Q7. Who is in the scope of this initiative?

The initiative focuses on CFOs and other equivalent senior finance leaders across the private, not-for-profit, and public sectors, regardless of the title of their role or professional background.

This includes both professional accountants and individuals who are not members of a professional accounting body. Capturing this diversity is central to understanding how ethical decision-making operates in practice and where common themes may - or may not - emerge.

Q8. Why is IESBA the appropriate body to undertake this work?

IESBA sets high-quality international ethics standards, including independence standards, for the preparation, reporting and assurance of financial and non-financial information. These standards are a cornerstone of ethical behavior in business and organizations and help support public trust in the information that underpins the functioning and sustainability of organizations, financial markets, and economies worldwide.

As CFO roles evolve and ethical decision-making increasingly influences information relied upon by investors and markets, regulators, and society, it is appropriate for the IESBA to examine whether its existing ethical framework remains clear, relevant, and practical in the public interest.

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

IESBA’s snapshots provide short, non-technical overviews of IESBA projects. They explain the purpose, direction, and current focus in clear and accessible terms, alongside more detailed technical materials.

This Snapshot focuses on IESBA’s Firm Culture and Governance Project.

Q1. Why is the IESBA working on firm culture and governance?

Accounting firms and professional accountants play a critical public interest role in the global economy by fostering public trust in the financial and non-financial reporting ecosystem.

To meet these expectations, firms are increasingly addressing the need to build and sustain firm-wide ethical culture that supports a consistent, high level of ethical behavior across all service lines.

These efforts underscore an important observation that ethical failures within firms are rarely due to a lack of rules or standards alone. Often, they reflect deeper issues relating to the firm’s ethical culture.

In fact, extensive research demonstrates that ethical behavior in organizations is strongly influenced by firm culture, including elements such as leadership, governance, incentives, or accountability.

At present, there is no comprehensive global ethics baseline against which firms of different sizes and operating in different contexts can assess their ethical culture and governance practices across all activities.

Stakeholders have therefore expressed clear support for the IESBA to explore the development of a global, firm-level framework that complements the existing requirements in the IESBA Code - which focus primarily on individual professional conduct and independence requirements at individual and firm levels, rather than cultural or governance factors.

The Firm Culture and Governance (FCG) project responds to this public interest matter by examining how a global framework could support firms in strengthening the key elements that underpin a strong ethical culture.

Q2. What is the objective of the Firm Culture and Governance project?

The objective of the project is to develop a global culture and governance framework that can help firms build and sustain a strong ethical culture across the whole firm.

In the framework, the IESBA aims:

• To establish a global and consistent point of reference for firms to assess their practices on their ethical culture and governance practices
• For the framework to be principles-based, rather than prescriptive
• For it to be applicable to firms of different sizes and structures
• To promote long-term trust, ethical conduct, and the public interest, by complementing existing requirements

Q3. What has the IESBA done so far?

In 2024, a dedicated Working Group carried out research and outreach on accounting firm culture and governance and published a report identifying eight key interconnected elements that drive ethical culture in firms.

Based on this work, IESBA agreed to pursue a standard-setting project to develop a Firm Culture and Governance Framework comprising the eight elements (FCG Framework). The project also includes the development of non-authoritative guidance and other supporting materials or initiatives.

In June 2025, informed by stakeholder engagement that followed the publication of the report, including six global roundtables, IESBA agreed to develop:

• Guidance materials and other initiatives during 2025 and 2026; and
• A set of IESBA Viewpoints on each of the eight elements that drive ethical culture in firms to be used for further discussion with stakeholders in 2026.

This engagement will inform IESBA’s consideration, by June 2026, of how best to approach the development of the FCG Framework.

Q4. What are the IESBA Viewpoints?

IESBA concluded in December 2025 a set of Viewpoints that describe key characteristics of each of the eight elements of a FCG Framework. The Viewpoints:

• Summarize insights from research and stakeholder feedback
• Describe what ethical culture, principles, or other considerations could look like in practice
• Support dialogue and testing of the thinking going forward

The IESBA Viewpoints shared for engagement with stakeholders in 2026 are not the framework itself, but rather a tool to test, refine, and build consensus around what we expect, once completed, to be a powerful framework to underpin the overall resilience and success of the accounting sector and ultimately protect the public interest.

Q5. What are the eight elements of a Firm Culture and Governance Framework?

The eight elements that form the structure of an FCG Framework and that are covered by the IESBA Viewpoints are:

• Ethical leadership
• Oversight and governance
• Independent input
• Accountability across the firm
• Incentives and disincentives
• Open discussion and challenge
• Education and training
• Transparency

Together, these elements influence how ethical values are embedded into everyday decisions and behaviors within firms, helping to shape an organizational culture that prioritizes ethical values in decision-making at all levels and across all service lines of a firm.

Q6. What is the IESBA focused on in the first half of 2026?

The IESBA is taking a dialogue-driven, evidence-based approach to shaping its Firm Culture and Governance Framework and will be focused on in-depth, meaningful discussions on what an effective FCG Framework should entail.

The discussions will address issues such as:

• How a global and consistent baseline would help firms strengthen culture and governance across all service lines
• Whether a future framework should be part of the IESBA Code or available for voluntary adoption - and why
• Whether the IESBA Viewpoints are clear, workable, and proportionate, and which of them should become enduring principles (or what may be missing)

Q7. How can stakeholders engage and contribute to this work?

The engagement with stakeholders will be structured through the Firm Culture and Governance Dialogues initiative that will include:

• Targeted discussions and meetings at technical and strategic levels with firms, regulators, professional bodies, and other stakeholders
• Testing and refinement of the Viewpoints against real scenarios and experiences 
• Broader engagement through conferences, seminars, interviews, and ongoing communication

This engagement will inform the Board’s consideration of next steps.

Q8. What decisions will the IESBA consider in 2026?

By mid-2026, the IESBA expects to consider how best to take this work forward on the development of the FCG Framework, including:

• How the eight FCG elements should best be structured within a framework
• Which of the IESBA Viewpoints should evolve into principles integrated within the framework
• Whether such a framework should be positioned within the IESBA Code, or outside the Code and available for voluntary adoption

No decisions on how to approach the FCG Framework have been taken at this stage.

Annex: Further information and resources

Those interested in additional context, background, and technical details about the project may wish to refer to:

• Firm Culture and Governance Dialogues booklet

The booklet presents the Viewpoints on the eight elements of the Firm Culture and Governance Framework and sets out the objectives of the project and the dialogues planned for the first half of 2026.

• IESBA Briefing Note – IESBA Viewpoints on Firm Culture and Governance

Detailed background on the project, its objectives, the context, nature, and purpose of the IESBA Viewpoints and stakeholder engagement questions.

• Linkages between IESBA Viewpoints and ISQM 1

A paper explaining at a high-level how the IESBA Viewpoints relate to the International Auditing and Assurance Standards Board’s (IAASB) International Standard on Quality Management 1 (ISQM 1), highlighting the linkages between the two as well as their differences such as their differing scopes and objectives.

• Firm Culture and Governance: Summary of Feedback from Global Roundtables

A summary of insights from six global roundtables held in New York, Melbourne, Brussels, Kuala Lumpur, and virtually for Africa and Latin America, involving more than 150 stakeholders from the regulatory, investor, standard-setting, firm, academic, and professional communities.

• Firm Culture and Governance Working Group – Final Report

Research, fact-finding, outreach, and early insights that informed the development of the FCG project, including the identification of the 8 fundamental elements of firm culture and governance.

• Organizational Culture and Behavior: A Synthesis of Academic Literature

A synthesis of academic research examining how organizational culture shape ethical behavior within organizations.

• IESBA website and social media channels

Regular updates on the Firm Culture and Governance project and the ongoing engagement with stakeholders. IESBA launches Firm Culture and Governance Viewpoints as it begins Asia outreach

About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.