Page 12 - AOB 2018 (ENG)

Audit
Oversight
Board
ANNUAL
REPORT
2018

Malaysia Ranked Top in the Area of Auditors and Audit
Regulators in CG Watch 2018

In the recently issued CG Watch 2018 by ACGA, Malaysia emerged as the biggest gainer moving from
sixth place in 2016 to fourth in 2018, after Australia, Hong Kong and Singapore. This report is the result
of a biennial survey by the ACGA and CLSA Limited (CLSA) of 12 Asian countries including Australia.

Malaysia scored above the regional average in several areas including the strength of its rules for
corporate disclosure, governance and enforcement. Malaysia also scored the highest (tied with
Australia) for the quality of accounting, auditing standards and practices, and the effectiveness of audit
regulation.

The AOB was also recognised as one of the region’s most effective audit regulators and probably the
best communicator.

Chart 1
Auditors and audit regulators: scores by market

90
80
70
60

% 50
40
30
20
10
0
Australia Malaysia Singapore Hong Kong Japan Thailand Taiwan Korea Philippines Indonesia China India

Source: ACGA

The ACGA commended the AOB on its inaugural 2017 AOB Annual Inspection Report issued in March
2018, which provided details of its inspection programmes and insights into the structure and practices
of the audit industry. The ACGA also noted that the issuance of the inspection report sets a good
example for the region.
The AOB’s enforcement actions as well as New Registration Criteria for Registration with the AOB were
identified as proactive.

This is the ninth edition of the CG Watch.

10 | PART ONE FOSTERING HIGH QUALITY INDEPENDENT AUDITING IN THE CAPITAL MARKET

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