The Effect of Adopting IFRS on the Quality and Reliability of Accounting Information in Joint–Stck Companies

Abstract

This study investigate the effect of adopting International Financial Reporting Standards (IFRS) on the quality and reliability of accounting information in joint-stock companies. The transition toward IFRS has become an accelerating phenomenon imposed on financial and economic institutions amid growing integration with global capital markets. The research is premised on the hypothesis that IFRS adoption produces a statistically significant positive impact on accounting information quality across its four dimensions: relevance, reliability, comparability, and consistency. A descriptive-analytical methodology was employed, and a questionnaire comprising (24) items was designed and distributed to a purposive sample of (50) financial managers and accountants in joint-stock companies listed on the Iraq Stock Exchange. Results revealed statistically significant differences between the sample mean and the hypothetical mean in favor of the former, confirming a high positive effect of IFRS adoption on accounting information quality and reliability. The study concluded with key recommendations, most notably: mandatory full compliance with IFRS for joint-stock companies and building the capacity of accounting professionals to meet the requirements of these standards.