Journal
Metropolitan Journal of Academic Multidisciplinary Research
MJAMR
Audit Quality And Financial Reporting Performance Of Financial Institutions In Uganda. A Case Study Of Centenary Bank Mukono Branch
Igama Emmanuel, Kabanda Richard
| Journal | Metropolitan Journal of Academic Multidisciplinary Research (MJAMR) |
| Volume / Issue | Vol. 5, No. 5 |
| Published | 31 May 2026 |
| ISSN | 3006-4384 |
Abstract
This study examined the relationship between audit quality and financial reporting performance at Centenary Bank Mukono Branch, Uganda. The study was guided by three objectives: to assess the effect of auditor independence on financial reporting quality, to examine how audit firm size influenced financial reporting accuracy, and to determine the relationship between audit tenure and the reliability of financial statements. A cross-sectional survey design was adopted, and primary data were collected from 80 respondents comprising internal auditors, finance officers, branch managers, and senior accountants using structured questionnaires. Secondary data were sourced from Centenary Bank's financial reports for the period 2018–2023. Data were analysed using descriptive statistics, Pearson correlation, and multiple regression analysis. The findings revealed that auditor independence had a strong positive effect on financial reporting quality (r = 0.74, p < 0.01), audit firm size was significantly correlated with financial reporting accuracy (r = 0.68, p < 0.01), and audit tenure negatively affected financial statement reliability beyond a six-year threshold. The study concluded that improving audit quality mechanisms significantly enhanced financial reporting performance at Centenary Bank Mukono Branch. Recommendations included mandatory partner rotation, strengthening audit committee oversight, and enforcing auditor independence standards aligned with International Standards on Auditing.
Keywords
audit quality
financial reporting performance
auditor independence
audit firm size
audit tenure
Centenary Bank
Uganda
Cite This Article
Igama Emmanuel & Kabanda Richard (2026). Audit Quality And Financial Reporting Performance Of Financial Institutions In Uganda. A Case Study Of Centenary Bank Mukono Branch. Metropolitan Journal of Academic Multidisciplinary Research, 5(5). https://journals.miu.ac.ug/pages/article.php?article_id=444
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