Investigating the impact of ethical standards on enhancing accounting practices: A comparative analysis of public and private sectors in Oman

Abstract

This research examines how ethical standards contribute to improving accounting practices in both the public and private sectors of Oman, concentrating on the importance of professional ethics and its effect on accountants’ performance and quality. The objective of the study is to investigate the connection between adherence to ethical standards and the quality of financial reporting while noting differences in ethical compliance across sectors. A questionnaire using a Likert scale was utilized to gather primary data from accounting professionals in various organizations. Statistical techniques were applied to evaluate the relationship between ethical compliance and the integrity of financial reporting. The findings reveal a significant positive correlation between ethical conduct and enhanced financial reporting quality. Public sector organizations demonstrate higher levels of ethical compliance due to more rigorous regulatory oversight, while ethical training and governance are essential for ensuring compliance, especially among less experienced accountants. The study concludes that ethical conduct enhances transparency, builds trust, and reduces financial risk, underscoring the importance of maintaining strict ethical standards. For practical implications, the study advocates for ongoing ethical training, strong governance frameworks, and a workplace culture that emphasizes ethics to improve financial integrity. These insights are beneficial for policymakers and organizations aiming to strengthen ethical accounting practices and uphold stakeholder trust.