A study of auditing practices of banking sector in Jordan

Abstract

This study makes a review of the auditing practices of the banking sector in Jordan. It aims at identifying the auditing practices as prevalent in the banking sector of Jordan, assessing their efficacy and efficiency; examining their conformance to the international standards; evaluating their contribution to instill confidence in the stakeholders and foster trustful relationship between bank management, employees and customers. The study also purposes to ascertain whether the auditors have the realization of their responsibility and obligations in carrying out the banking business operations in keeping with the banks policies, banking rules and regulations, and in the best interest of the stakeholders. The review of literature made in this study reflects that fairly much work has been done in the field of auditing by learned academics and professional connoisseurs of auditing. However, the literature review brings to fore that the published work generally and mostly relates to the theoretical aspects of auditing. The published books commonly delineate on the nature, principles and practices of auditing. They indeed provide treasure of knowledge to the academic faculty and scholars concerned with the teaching and learning of the discipline of audit. On the other hand, the published articles on auditing, however, deal only with a specific aspect of auditing, go into its depth to emerge with pointing out deficiencies and end with making suggestions to overcome them. As far as this researcher could rummage among the pertinent published literature reviewed in this study, no work has been specifically done relating to the auditing practices as obtain and followed in the banking sector of Jordan. Hence, this study which fills this gap. The study has been conducted in a structured manner and the whole work has been divided into seven chapters. Each chapter has been designed with a direct bearing on the subject matter of study. The first chapter introduces the nature and tenor of the study.