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IFRS Adoption in Emerging Markets: The Case of Jordan

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  • Khaldoon Al†Htaybat

Abstract

The aim of this study is to research the adoption of International Financial Reporting Standards (IFRS) in Jordan, which was one of the first Middle Eastern emerging economies to adopt IFRS. The paper investigates the related factors that pressure and prevent such adoption over time, and illustrates the developmental aspects of such adoption. An interpretive methodology is employed, and perceptions of the study's participants are analysed regarding the adoption of IFRS in Jordan, which is an area that is under researched. Semi†structured interviews were undertaken to collect Jordanian experts’ perceptions. Based on the empirical data analysis and prior theoretical and empirical literature, an adoption model was developed, which can serve future studies as well. The model illustrates the paradox of accounting changes in emerging economies, in which the actual conditions that pressure IFRS adoption are also the conditions that prevent full adoption. The model also provides an explanation of the implementation process of IFRS in emerging economies at both country and corporation levels. It combines practical features and related theories in an integrative model seeking to explain the phenomenon of IFRS as a new accounting regulation change.

Suggested Citation

  • Khaldoon Al†Htaybat, 2018. "IFRS Adoption in Emerging Markets: The Case of Jordan," Australian Accounting Review, CPA Australia, vol. 28(1), pages 28-47, March.
    • Handle: RePEc:bla:ausact:v:28:y:2018:i:1:p:28-47
    DOI: 10.1111/auar.12186
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    Cited by:

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    2. June Cao & Chris Patel, 2020. "The role of the national institutional environment in IFRS convergence: a new approach," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 60(4), pages 3367-3406, December.
    3. Abbas Saad Hamada Alkhuzaie & Muzaffar Asad & Ala'a Zuhair Ahmad Mansour & Mohammed Ali Bait Ali Sulaiman & Umar Nawaz Kayani & Muhammad Uzair Asif, 2024. "Compliance with Accounting Standards by Jordanian SMEs," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 89-107.
    4. Esraa Esam Alharasis & Ahmad Saleem Tarawneh & Maha Shehadeh & Hossam Haddad & Ahmad Marei & Elina F. Hasan, 2022. "Reimbursement Costs of Auditing Financial Assets Measured by Fair Value Model in Jordanian Financial Firms’ Annual Reports," Sustainability, MDPI, vol. 14(17), pages 1-21, August.

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