CURRENT DEVELOPMENTS IN AUDIT AND ASSURANCE RISK IN THE DIGITAL AGE

Abstract

The digital age has fundamentally reshaped audit and assurance practices, introducing advanced technologies that enhance audit quality while simultaneously creating new and complex risk exposures. Technologies such as artificial intelligence (AI), machine learning (ML), blockchain, big data analytics, cloud computing, and cybersecurity systems are redefining how audit evidence is generated, evaluated, and reported. In emerging economies such as Nigeria, digital adoption has accelerated across banking, fintech, telecommunications, and public sector institutions, compelling auditors to operate within increasingly automated and data-intensive environments. The purpose and objective of this study was to review conceptually how digital technologies was influencing audit risk, professional judgement, and assurance reliability. The study adopted library research method drawing on global literature and Nigerian-based studies. Findings from the study suggest that, while technology can enhance assurance, it cannot replace professional skepticism. The study concluded that digital transformation has expanded, rather than diminished, the role of auditors. In the light of this therefore, the study recommended that practitioners and professionals should undergo continuous and intensive training in AI applications and other digital tools to enhance their capacity and ability to rise to the demand of the current technology-driven ecosystem.