A Qualitative Analysis of the Audit Expectations Gap in the Public Sector of Bangladesh

Abstract

This interview‐based research is exploratory in nature and seeks to determine whether or not an audit expectations gap exists in the public sector of Bangladesh. Various audit concepts are employed to test whether the perceptions of the auditors in the office of the Comptroller and Auditor General (CAG) are the same as the perceptions of the audit report users. The interviewees' responses revealed important differences between the CAG auditors and the audit report users in such important areas as auditor accountability, auditor independence, auditor competence, truth and fairness of the reported information and the role of the performance audit. A comparison is undertaken of the possible causes of the audit expectations gaps in both the private and public sectors. A number of these causes are common for both the private and public sectors but some are relevant only to the public sector audit expectations gap.