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According to the IMF's 2007 Financial System Stability Assessment (FSSA), the UAE does not have an accounting law, nor does it legally mandate accounting standards. The Companies Law sets forth that accounting principles and practices should be in line with the generally accepted practice and principles of accounting, but it does not define the standards. Companies listed on the Abu Dhabi Securities Exchange are required to apply International Financial Reporting Standards (IFRSs), but there is no specific guidance as far as their application is concerned. The rules of the Dubai Financial Market do not specify any accounting standards. Pursuant to Central Bank Circular No 20/99, banks, financial institutions, and investment companies in the UAE are required to prepare their financial statements in accordance with IFRSs with effect from January 1, 1999. The IMF recommended that the UAE enact an accounting law that would adopt IFRSs for public companies and introduce national accounting standards for other companies. The 2007 IMF "Detailed Assessment" indicates that the UAE and the DIFC do not have an accounting standard setting body. As of 2006, the DIFC legal framework required banks and companies listed on the Dubai International Foreign Exchange to apply IFRSs. The 2006 "Doing Business Guide" by PricewaterhouseCoopers states that, within the jurisdiction of the DIFC, accounts of limited liability companies and limited liability partnerships should be prepared in accordance with accounting principles or standards approved by the Registrar of Companies, which typically comply with IFRSs. With respect to general partnerships, however, the law does not stipulate any statutory financial, accounting, or audit requirements.

According to a 2007 IMF report, the United Arab Emirates has no statutory requirements on auditing, no auditing standards, and no auditing oversight body. Firms registered in the DIFC are subject to international accounting and auditing standards. The IMF reports that the Dubai Financial Services Authority (DFSA) requires financial statements to be audited by a professional auditor, using standards of the International Auditing and Assurance Standards Board, the Accounting and Auditing Organization for Islamic Financial Institutions, or other audit standards recognized by the DFSA. The DFSA is the sole independent regulator of the DIFC. The 2006 PricewaterhouseCoopers "Doing Business Guide" indicates that the Companies Law governs accounting and auditing requirements for DIFC incorporated entities. Within the jurisdiction of the DFIC, limited liability companies must appoint an independent auditor or auditors, whereas limited liability partnerships are required to appoint an auditing firm that is registered with the DIFC through the DFSA. The accounts and auditors' report must be filed with the Registrar of Companies.