FACTORS AND BENEFITS MOTIVATINGLIBYA’S DECISION TO ADOPT IFRS

Purpose: To examine and explore Factors and Benefits motivating Libya’s decision to adopt International Financial Reporting Standards (IFRS). Design/methodology/approach: This study has adopted a quantitative method, using a questionnaire to gather data and utilising SPSS to analyse this data. Findings: The results of this study demonstrated that the Libyan’s economy’s potential for growth is a significant factor in its adoption of IFRS. Thus, economic growth plays a vital role in pushing Libya toward adopting IFRS. Furthermore, the benefits associated with adopting IFRS are another strong motivation for Libya to make that decision. In contrast, the accounting education in Libya plays a lesser role in encouraging Libya to adopt IFRS, because it still requires development and improvement, particularly in terms of curriculum and IFRS training courses. Originality: This study focuses on financial accounting literature in developing states, particularly with regards to the key motivations for Libya to adopt IFRS. Therefore, this research can provide a valuable contribution to the field of accounting in Libya and other developing countries. Also, this study may be used as a guide for other researchers, academics or interested parties when conducting further study on IFRS, either in Libya or other developing countries.