Compliance with Financial Reporting Standard No. (7) in Libyan Banks and its Impact on the Reliability of Accounting Information, from the Perspective of Libyan Auditors: A Field Study

Abstract

          This study aims to identify the extent to which Libyan banks comply with the requirements of Financial Reporting Standard 7 (IFRS 7) regarding the disclosure of financial instruments, and its impact on the reliability of accounting information. To achieve the study's objectives, the researcher developed a questionnaire and distributed it to 23 accounting and auditing firms in western Libya. Ninety-six questionnaires were distributed to the sample, and 82 were returned, representing a response rate of 85.4%. The researcher employed a descriptive-analytical approach in the theoretical framework to describe the characteristics of the study sample, present the results, and test the study hypotheses. Arithmetic means, standard deviations, and t-tests were used, in addition to multiple regression analysis, to clarify the relationship between compliance with IFRS 7 requirements and its impact on the reliability of accounting information. The study reached several conclusions, most notably that there is compliance with the requirements of IFRS 7 in Libyan banks, and that this compliance has an impact on the reliability of information.

          The researcher recommends that the topic be addressed in the future from a practical perspective, namely by presenting an analysis of financial statements. Keywords: Financial Reporting Standard No. (IFRS 7), financial instruments, disclosure, reliability.