Accountants name AI as top ethical challenge: Report

New Delhi, October 14 (IANS): Ahead of Global Ethics Day on October 21, nearly 61 per cent of professional accountants now ranked use of artificial intelligence as the leading ethical challenge, up from 32 per cent in 2024, a statement said on Wednesday.

The statement from Association of Chartered Certified Accountants said ethical leadership (43 per cent) and ethical culture (39 per cent) remain in respondents’ top three ethical challenges.

The report drew 1,178 responses from finance and accountancy professionals across 135 countries and included roundtable discussions to add qualitative depth.

Nearly 50 per cent of respondents agreed that ethical challenges have become more difficult to resolve in the last three years, and 53 per cent report witnessing unethical behaviour in that period.

It indicated that the profession remains strongly grounded in the fundamental principles but is operating in conditions that are becoming more pressured, complex and difficult to navigate in practice.

"As artificial intelligence becomes increasingly embedded in financial decision-making, ensuring its responsible use while upholding professional ethics is emerging as a critical priority for the accountancy profession," said Sundeep Jakhar, Head of Public Affairs – India at ACCA.

The report highlighted that AI can enhance the quality and efficiency of work, but its use must be underpinned by human judgement, transparency and clear accountability.

Nearly 89 per cent agreed that ethical capability in the profession remains strong – but it depends on continuous professional development. Trust in the profession is grounded in strong ethical standards (46 per cent), transparency (38 per cent), and independence (36 per cent).

Enabling ethical behaviour in practice is a shared responsibility – with ethical culture and leadership acting as core conditions for ethical action, the report noted.

“Ultimately, trust in the profession will depend not just on technological capability, but on how consistently ethical principles are applied in practice,” Jakhar said.