Proposed Framework for Accounting Development in the GCC Countries: A Comprehensive Perspective

Abstract

The attempt to set accounting and auditing standards in the style used in developed countries, particularly USA and UK, occupied a greater portion of the efforts made so far to develop accounting in these countries. It should be pointed out that the emphasis on the issue of standards means giving priority to external financial reports that basically aim to provide information for stock markets in developed countries, without taking into consideration the information needed for socio-economic development in developing countries, As we know that all the GCC countries have adopted a comprehensive development planning approach based on five-years development plans, and no doubt that the success of implementing and following up of these plans depend – among other things – on the availability of a dependable base of accounting information on both public and private sectors. I believe that the nature of the current accounting system in these countries dos not provide such information in a satisfying level, and accordingly it is essential to look seriously for an accounting system that can achieve this purpose. In addition to this there are other aspects of accounting that are not less important than the issue of standards – for example - accounting education, enterprise accounting, government accounting, and national accounting, All of these did not get enough attention - so far – in the efforts made to develop accounting in these countries. In my opinion any development in accounting in the GCC Countries must take into consideration all the aspects of the issue as a whole, because of the strong relationship between them. Based on that, this paper aims to highlight the latest developments in accounting in the GCC countries and evaluate it in the light of the socio-economic development needs of the countries, and as a result suggesting a framework by which accounting as a whole could be improved.