The auditing sector is experiencing major changes at the present time. The internationalisation of companies and their increasing cross-border orientation to capital markets have spurred on the development of a global market over the past few years in a sector which was originally characterised by national traditions and legal systems. This development constitutes a new challenge for the regulatory framework, which is subject to growing standardisation pressures. Moreover, in the face of a steadily rising market capitalisation, the quality of auditing services is gaining in importance, particularly in the interest of protecting investors. A significant example of this is the debate about international standards on auditing, which is boosted by the involvement of the International Organisation of Securities Commissions.

Trends observed world-wide are even more pronounced on the European internal market. The European Commission, therefore, aims at ensuring a uniform and high standard of auditing in Europe. The German Government supports the Commission’s initiatives. Only if consolidated financial statements and audit reports are recognised in the long run as being equivalent in Europe and offer the highest possible degree of reliability, will companies and investors gain confidence in European capital markets across the borders, enabling Europe to take a more active part in the important international discussions.

In this ongoing process of adjustment and development, audit research plays an important role. Due to their independence and special expertise, universities can make valuable contributions to the current debate at national and international level. I therefore welcome the European Auditing Research Network, an initiative whose goal it is to further intensify auditing research by creating a platform for a broadly-based academic information exchange. Outside all the institutions, this is evidence of a truly European approach. The issues discussed, which embrace technical questions and regulatory problems as well as the training of auditors and the economic significance of auditing, produce interesting questions for all parties involved. Thus, a major professional contribution is made which will enhance the harmonisation process at the European level. The First European Audit Research Symposium offers an ideal opportunity to present these deliberations to a wider public. As the patron of this event I wish the organisers every success and all participants stimulating discussions.