As part of the Capital Market Authority's ("CMA") strategic objectives to develop the capital market, and based on the Capital Market Law issued by Royal Decree No. (M/30), Dated 02/06/1424 H, the CMA Board issued its resolution approving the amendments to the Rules for Registering Auditors of Entities Subject to the Authority's Supervision, which shall be effective as of the date of their publication.

These amendments aim to develop the standards and conditions required for Auditors of Entities Subject to the Authority's Supervision in light of the issuance of the Law of the Profession of Accounting and Auditing. These amendments also aim to develop every aspect that would enhance the confidence of the capital market's participants and support its growth and prosperity.

The main elements of the amendments are as follows:

   a) Amending some of the definitions stipulated in Article (2) of the Rules for Registering Auditors of Entities Subject to the Authority's Supervision, which includes amending the definitions of the “Entities Subject to the Authority's Supervision (ESAS)", “Audit Engagements", and “Quality Control System".

   b) Amending the Certified Public Accountant registration conditions, by requiring a full-time commitment to practice the profession of account auditing in accordance with the Law of the Profession of Accounting and Auditing, and requiring the CPA to work through an Accounting Firm registered with the CMA.

This comes after the CMA published the draft amendments to the Rules for Registering Auditors of Entities Subject to the Authority's Supervision on the Unified Electronic Platform for Consulting the Public and Government Entities (Public Consultation Platform) affiliated to the National Competitiveness Center and the CMA's website for public consultation for a period of (30) calendar days.

The amended Rules for Registering Auditors of Entities Subject to the Authority's Supervision can be viewed via the following link:

Rules for Registering Auditors of Entities Subject to the Authority's Supervision