IFAC Response to CICA CPAB Audit Committee Discussion Paper

IFAC recognizes the important role that a well-functioning audit committee plays in governance, risk management, and internal control arrangements for a wide range of different entities. In particular, the outcomes of the global financial crisis, and the responses to it, have highlighted that appropriately structured and well-operated audit committees promote good governance and financial reporting practices within organizations, and improve the quality of reported financial (and potentially, non-financial) information. Critically, with respect to their relationships with external auditors, audit committees that are comprised of competent and independent members also play a key role in promoting and enhancing audit quality.