Understanding the influence of the global COVID-19 pandemic on Auditors’ going concern assessment (GCA) decisions within Kuwait

This study examines the preparation of going concern opinions (GCAs) in Kuwaiti auditing firms and the factors influencing decision-making before, during and after the COVID-19 pandemic. While prior studies on GCAs have focused on the short-term effects of COVID-19, they have not examined how auditors’ underlying logics and behaviours evolved across the pre-, during-, and post-pandemic period. The research is based on 36 semi-structured interviews: 24 with auditors from Kuwaiti medium-sized firms and Big Four firms and 12 with employees from Kuwaiti regulators. Prior to the pandemic, GCAs relied predominantly on financial performance metrics, medium-sized firms followed structured approaches, while Big Four firms incorporated broader data sources in line with international standards. During the pandemic, remote auditing, poor-quality client data, and heightened risk of errors prompted significant procedural changes. Auditors relied more on international standards, implemented procedures for data validation, and increasingly considered non-financial metrics in their assessments. The Big Four firms led in addressing technical, privacy, and methodological challenges. The study finds that factors shaping Kuwait auditors GCA decision-making included data quality, regulatory support, audit firm size, adherence to professional standards, and the growing role of technology. It advances the literature by providing empirical evidence on how institutional forces and individual behaviour influence the auditing in times of uncertainty. The study is limited by having a non-representative, all-male sample with only junior auditor and should be complemented with other studies with more diverse demographics.