Regulatory Alerts2021-08-11
Instructions Concerning External Auditor
Issued by the Amir of Kuwait and approved by the Council of Ministers, Decree Law No. 5 of 1981 mandates that all auditing practitioners register with the Ministry of Commerce and Industry to legally practice. The legislation establishes strict eligibility criteria, including a bachelor’s degree in accounting, Kuwaiti nationality (or temporary registration for foreigners), five to seven years of relevant experience, and successful completion of a professional examination. It further codifies auditors’ rights and independence requirements, mandates comprehensive record-keeping for ten years post-engagement, and imposes disciplinary or criminal penalties, including suspension, deregistration, and fines for unregistered practice or professional misconduct.