The study aims to examine the challenges and prospects of International Financial Reporting Standards (IFRS) adoption in Ethiopian Commercial Banks. To answer the research question and to achieve the objective of the study this paper adopted the mixed research approach. The questionnaire data were analyzed using descriptive statistics and data from interview and document review were interpreted qualitatively. The results show that IFRS adoption in Ethiopian Commercial Banks will result in a number of important benefits to a wide range of stakeholders.
The study also found out that with the exception of capital market the other five variables namely need of amending legal and regulatory requirement , volatility of financial position and financial performance , difficulty of obtaining source documents and data ,need of updating the existing accounting software, information system and information technology of the bank, shortage of skilled and competent man power , shortage of strong professional bodies are the key challenges of IFRS adoption in Ethiopian Commercial Banks.
Finally the study recommended the relevant commercial code, tax proclamation and NBE directive should be amended by Government organs in consultation with strong professional bodies , establishment of strong professional bodies and capital market, allocation of sufficient financial and other resources by top management , introduction of IFRS in colleges and universities and future adopters should think ahead the required source documents and data as well as ensure the extent of changes needed to update the existing IT infrastructure to satisfy IFRS requirements.
Inhaltsverzeichnis (Table of Contents)
- Abstract
- Chapter 1: Introduction
- 1.1 Background of the Study
- 1.2 Statement of the Problem
- 1.3 Research Questions
- 1.4 Objectives of the Study
- 1.5 Significance of the Study
- 1.6 Scope and Limitation of the Study
- 1.7 Methodology
- 1.8 Organization of the Study
- Chapter 2: Literature Review
- Chapter 3: Research Design and Methodology
- Chapter 4: Data Analysis and Interpretation
- Chapter 5: Conclusion and Recommendations
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
The main objective of this thesis is to examine the challenges and prospects of International Financial Reporting Standards (IFRS) adoption in Ethiopian Commercial Banks. The study utilizes a mixed research approach, combining quantitative analysis of questionnaire data with qualitative interpretation of interview and document review data. The goal is to provide a comprehensive understanding of the factors influencing IFRS adoption and its potential impact on the banking sector in Ethiopia.
- Challenges of IFRS adoption in Ethiopian Commercial Banks
- Benefits of IFRS adoption in Ethiopian Commercial Banks
- Impact of IFRS adoption on stakeholders
- Recommendations for successful IFRS implementation
- Legal and regulatory requirements related to IFRS adoption
Zusammenfassung der Kapitel (Chapter Summaries)
Chapter 1: Introduction: This chapter sets the stage for the research by providing background information on the adoption of International Financial Reporting Standards (IFRS) globally and specifically within the context of Ethiopian commercial banks. It clearly articulates the problem statement, outlining the gap in knowledge regarding the challenges and prospects of IFRS adoption in this specific setting. The chapter defines the research questions and objectives, specifying the scope and limitations of the study, and details the methodological approach employed, which is a mixed methods approach combining quantitative and qualitative data collection and analysis techniques. Finally, it outlines the structure of the thesis, providing a roadmap for the reader.
Chapter 2: Literature Review: This chapter delves into existing literature on IFRS adoption, exploring both the theoretical frameworks and empirical findings from various contexts. It likely reviews the benefits and challenges associated with IFRS adoption, examining factors such as regulatory environments, accounting infrastructure, and the skills and competencies required for successful implementation. The review would synthesize insights from previous studies to build a foundation for the current research and to identify potential gaps in the existing body of knowledge regarding the Ethiopian context.
Chapter 3: Research Design and Methodology: This chapter details the research design and methodology used to conduct the study. It specifies the research approach (mixed methods), data collection methods (questionnaires, interviews, document reviews), and the sampling strategy employed. A crucial element would be the justification for the selected methods, including the rationale for the quantitative and qualitative components and the procedures followed to ensure data validity and reliability. The chapter likely also outlines the data analysis techniques used, specifying how both quantitative and qualitative data were analyzed and interpreted to answer the research questions.
Chapter 4: Data Analysis and Interpretation: This chapter presents the findings of the study. It provides a detailed analysis of both the quantitative and qualitative data, linking them to the research questions and objectives. It would likely present descriptive statistics from the questionnaire data, illustrating the prevalence of various challenges and benefits associated with IFRS adoption. Qualitative data from interviews and document reviews would be interpreted to provide deeper insights into the perceptions and experiences of stakeholders. The chapter integrates both forms of data to provide a comprehensive picture of the situation.
Schlüsselwörter (Keywords)
IFRS adoption, Ethiopian Commercial Banks, Financial Reporting, Accounting Standards, Challenges, Prospects, Stakeholder Impact, Regulatory Environment, Accounting Infrastructure, Skills and Competencies.
Frequently Asked Questions: Comprehensive Language Preview of IFRS Adoption in Ethiopian Commercial Banks
What is the main objective of this thesis?
The main objective is to examine the challenges and prospects of International Financial Reporting Standards (IFRS) adoption in Ethiopian Commercial Banks. It uses a mixed research approach (quantitative and qualitative data) to understand factors influencing IFRS adoption and its impact on the Ethiopian banking sector.
What are the key themes explored in this research?
Key themes include: Challenges of IFRS adoption in Ethiopian Commercial Banks; Benefits of IFRS adoption; Impact of IFRS adoption on stakeholders; Recommendations for successful implementation; and Legal and regulatory requirements related to IFRS adoption.
What is the structure of the thesis?
The thesis is structured into five chapters: Chapter 1 (Introduction), Chapter 2 (Literature Review), Chapter 3 (Research Design and Methodology), Chapter 4 (Data Analysis and Interpretation), and Chapter 5 (Conclusion and Recommendations).
What does Chapter 1 cover?
Chapter 1 provides background information on IFRS adoption globally and in Ethiopia, articulates the problem statement, defines research questions and objectives, specifies the scope and limitations, details the mixed-methods approach, and outlines the thesis structure.
What does Chapter 2 cover?
Chapter 2 delves into existing literature on IFRS adoption, exploring theoretical frameworks and empirical findings from various contexts. It examines benefits and challenges, considering regulatory environments, accounting infrastructure, and necessary skills and competencies.
What does Chapter 3 cover?
Chapter 3 details the research design and methodology, specifying the mixed-methods approach, data collection methods (questionnaires, interviews, document reviews), sampling strategy, and data analysis techniques. It justifies the chosen methods and ensures data validity and reliability.
What does Chapter 4 cover?
Chapter 4 presents the study's findings, providing a detailed analysis of quantitative and qualitative data linked to research questions and objectives. It presents descriptive statistics and interprets qualitative data to give a comprehensive picture.
What are the keywords associated with this research?
Keywords include: IFRS adoption, Ethiopian Commercial Banks, Financial Reporting, Accounting Standards, Challenges, Prospects, Stakeholder Impact, Regulatory Environment, Accounting Infrastructure, Skills and Competencies.
What type of research methodology is used?
The study employs a mixed research approach, combining quantitative analysis of questionnaire data with qualitative interpretation of interview and document review data.
What data collection methods were used?
Data collection methods include questionnaires, interviews, and document reviews.
- Quote paper
- Marenesh Abebe (Author), 2018, The Challenges and Prospects of IFRS Adoption in Ethiopian Commercial Banks, Munich, GRIN Verlag, https://www.grin.com/document/413994
