Shura debate on stricter rules for external auditors

TDT | Manama

Email: mail@newsofbahrain.com

Fines of up to BD100,000, licence limits and compulsory retraining could be added to the penalties available against external auditors under amendments due before the Shura Council on Sunday, as Bahrain moves to update the rules that govern the profession.

It will debate a report by its Financial and Economic Affairs Committee recommending approval, in principle, of changes to Decree-Law No. 15 of 2021 on external auditors, issued alongside Decree No. 76 of 2025.

The Shura Council’s Legislative and Legal Affairs Committee has said the draft is sound in constitutional and legal terms, and lower chamber has already issued a decision on the bill.

The Ministry of Industry and Commerce said the amendments rest on Article 87 of the Constitution, arguing the case meets the test of urgent necessity because delays in updating audit oversight could affect Bahrain’s international obligations.

It linked the bill to work aimed at strengthening corporate governance transparency and efforts against money laundering and terrorist financing, saying the changes seek to lift audit quality and improve how financial reporting is governed, in line with global best practice.