NFRA’s first tech guidance warns auditors of AI risks

In a move to set guardrails for auditors using artificial intelligence (AI), the National Financial Reporting Authority (NFRA) has issued its first technology guidance on the use of generative AI, agentic AI and other technologies in statutory audits. Through a note on Friday, the regulator has made it clear that even though tech can be used to improve audit quality and efficiency, it cannot dilute auditors’ professional responsibility and accountability.