Artificial Intelligence and the Digital Transformation of Accounting: Opportunities and Challenges for Emerging Economies

The rapid development of artificial intelligence (AI) and digital technologies is transforming the accounting and financial reporting environment. Traditional accounting processes increasingly rely on automated data processing, machine learning, intelligent document recognition, predictive analytics, and digital financial reporting systems. These technologies create opportunities to improve the efficiency, accuracy, transparency, and timeliness of accounting information. At the same time, the adoption of AI introduces new challenges related to data quality, cybersecurity, professional competence, ethical responsibility, explainability, and regulatory oversight. This study examines the opportunities and challenges associated with the application of artificial intelligence in accounting, with particular attention to emerging economies. The research applies a qualitative review-based methodology and analyses academic literature, professional publications, and international developments in digital financial reporting. The findings indicate that AI can significantly reduce repetitive accounting tasks, support financial analysis, improve fraud detection, and enhance the accessibility of financial information. However, technological adoption alone does not guarantee high- high-quality accounting outcomes. The effectiveness of AI depends on data quality, appropriate governance mechanisms, professional judgement, digital skills, and institutional readiness. The study argues that emerging economies should adopt a balanced human–AI approach in which artificial intelligence supports, rather than replaces, professional accounting judgement. The paper concludes by proposing key directions for responsible AI adoption in accounting, including professional education, data governance, cybersecurity, regulatory development, and continuous human oversight.