National Workshop on Fair Audit Pricing Successfully Held in Addis Ababa

National Workshop on Fair Audit Pricing Successfully Held in Addis Ababa

• Training
• July 03, 2025

Association of External Auditors – Special Workshop Coverage
Issue Date: July 3, 2025

National Workshop on Fair Audit Pricing Successfully Held in Addis Ababa
On July 2, 2025, the Association of External Auditors organized a pivotal workshop titled:
"Towards Fair Audit Pricing in Ethiopia: Addressing Lowballing and Promoting Sustainable Fee Practices"
at Nexus Hotel, Addis Ababa

The workshop was officially opened by Mr. Daniel Getaneh, President of the Association, who called the day a historic milestone in the growth and professionalization of Ethiopia’s audit industry. He emphasized the urgency of addressing unethical pricing practices such as lowballing, and the need to protect the integrity and sustainability of the profession.

The event featured three key technical presentations delivered by the Board Members of the Association:

The first session cover International Practice and Survey Results, Presented by: Mr. Zelalem Tilahun, Board Member,
Shared international experiences and the results of a local survey conducted by the Association on audit pricing practices.

The next session related to Audit Fee Schedule Framework, Presented by: Mr. Gobeze Desalegn, Vice President of the Association,  introduced a proposed fee schedule framework aimed at creating consistency and fairness in audit pricing in Ethiopia.

Finally, Position Statement was presented by: Mr. Daniel Getaneh, President of the Association, outlined the Association’s official position on lowballing and its harmful effects on the profession.

The workshop saw high engagement from attendees, including audit firm representatives and practitioners. Participants raised several important questions and reflections, including:

How will the fee schedule be implemented across the country, especially for firms outside the Association?

What concrete steps will follow the workshop to ensure enforcement?

Is lowballing by both new entrants and existing firms being recognized as unethical?

Will there be provisions for new firms in the fee model?

Has a transition period been considered for implementation?

Board members provided clarifications and welcomed the feedback as constructive input.

As concensess, all presenters and participants unanimously agreed that the current audit fee practices—whether through lowballing or price undercutting—are having a direct and negative impact on audit quality. The group emphasized that sustainable pricing is not only essential for business viability but also critical for upholding audit standards and public trust.

As next steps, in his closing remarks, Mr. Daniel Getaneh affirmed that the feedback and suggestions from the workshop will be incorporated into the final version of the position paper and audit fee framework. These will be submitted to the Accounting and Auditing Board of Ethiopia (AABE) for review and endorsement.

He also called on all members to:

Inform their clients about the upcoming pricing reforms.

Support public awareness and media engagement efforts.

Collaborate closely with AABE and other regulators to implement the changes effectively.

“Your active participation and constructive input today have laid the foundation for meaningful reform in audit pricing. We thank you all.”