ARTIFICIAL INTELLIGENCE ADOPTION AND PROFESSIONAL COMPETENCY DEVELOPMENT IN THE ACCOUNTING PROFESSION: EVIDENCE FROM AN EMERGING ECONOMY

Artificial Intelligence (AI) is increasingly transforming the accounting profession by enhancing financial reporting, data analysis, and decision-making. However, empirical evidence on its influence on the professional competency development of accountants in emerging economies remains limited. This study examined the influence of AI on the professional competency development of professional accountants in South West Nigeria. A descriptive survey design was adopted, involving 312 professional accountants selected from accounting firms using a snowball sampling technique. Data were collected through a validated structured questionnaire (AI-PAS-Q) with a reliability coefficient of Cronbach's α = 0.84. Descriptive statistics (mean and standard deviation) answered the research questions, while an independent samples t-test tested the hypothesis at the 0.05 significance level. The findings revealed that AI adoption was limited (Grand Mean = 2.30), mainly due to inadequate digital infrastructure, weak organizational governance, and skills shortages. AI was primarily applied to financial reporting and invoice automation. Despite the low adoption level, AI positively influenced professional competency development (Grand Mean = 2.56), particularly in data analysis, financial reporting, and digital competence, while lower competency gains were recorded in professional judgement, fraud detection, advisory services, and client communication. A statistically significant gender difference in AI skill acquisition was found (t = 2.19, df = 310, p = .029). The study concludes that AI can strengthen accountants' competencies when supported by adequate infrastructure, continuous professional development, and effective regulatory frameworks, and recommends greater institutional investment in AI capacity building and governance