3.1 Code of ethics for professional accountants in line with International Ethics Standards Board for Accountants’ Code of Ethics for Professional Accountants (IESBA Code)

The Code of Ethics for Professional Accountants, issued by the International Ethics Standards Board for Accountants (IESBA), sets out the fundamental principles and ethical requirements that professional accountants should adhere to in their professional activities. The code applies to all professional accountants, including auditors, in both public practice and business. Here are the key components of the IESBA Code of Ethics:

1. Integrity: Professional accountants are expected to be straightforward and honest in all professional and business relationships and to act with integrity, avoiding conflicts of interest and refraining from engaging in any unethical or illegal activities.
2. Objectivity: Professional accountants should not allow bias, conflict of interest, or undue influence to compromise their professional judgment and objectivity. They must maintain independence when providing assurance or related services and exercise professional skepticism in their work.
3. Professional Competence and Due Care: Professional accountants should maintain and develop their professional knowledge and skills to perform their work competently. They should exercise due care, which includes applying diligence, thoroughness, and professional skepticism in carrying out their professional responsibilities.
4. Confidentiality: Professional accountants have a duty to maintain the confidentiality of information obtained during the course of their work. They should not disclose any confidential information without proper authority, unless there is a legal or professional obligation to do so.
5. Professional Behavior: Professional accountants are expected to comply with relevant laws, regulations, and technical standards, and to act in a manner consistent with the good reputation of the profession. They should avoid any behavior that could bring discredit to the profession and should promote ethical conduct among their colleagues and subordinates.
6. Professional Skepticism: Professional accountants should exercise professional skepticism throughout the audit or engagement process. This involves a questioning mindset, critical assessment of evidence, and a willingness to challenge assumptions and representations made by management.
7. Independence: Professional accountants should maintain independence of mind and appearance when providing assurance or related services. They should identify and evaluate threats to independence and apply safeguards to mitigate those threats. Independence is crucial for the credibility and integrity of the audit profession.