Cabinet approves pact between ICAI and Chartered Accountants of Australia, New Zealand

The Union Cabinet on Tuesday approved signing of a fresh memorandum of understanding between the Institute of Chartered Accountants of India (ICAI) and Chartered Accountants Australia and New Zealand (CAANZ) which provides for mutual recognition of qualification of members.

The engagement between the two institutes is expected to result in greater employment opportunities for Indian chartered accountants and also greater remittances back to India, a statement said.

"The ICAI and CA ANZ aim to establish a mutual co-operation framework for the advancement of accounting knowledge, professional and intellectual development, advancement of the interests of their respective members and contribute positively to the development of the accounting profession in Australia, New Zealand and India," it said.

The pact provides for mutual recognition of qualification of members who have achieved membership by completing the examination, professional program and practical experience membership requirements of the institutes.

Further, the agreement intends to develop mutually beneficial relationship in the best interest of members, students and their organisations.

It is expected to provide an opportunity to the ICAI members to expand their professional horizons and to foster working relations between the institutes.

"The Cabinet, chaired by Prime Minister Shri Narendra Modi, has approved a fresh Memorandum of Understanding (MoU) between the Institute of Chartered Accountants of India (ICAI) and Chartered Accountants Australia and New Zealand (CA ANZ)," it said.

As per another statement, the Cabinet has also approved signing of a mutual recognition agreement between ICAI and Certified Practising Accountant Australia.

Under this, the two bodies will mutually recognise qualification of members of the other body who have achieved membership by completing the examination, training and practical experience requirements of the institutes.

The agreement will foster working relations between the two accounting institutes, develop mutually beneficial relationship in the best interest of members, students and their organisations.

Besides, it would increase mobility of professionals and herald a new dimension for small and medium businesses in both countries.

They will also have an opportunity to play the leadership role in addressing new challenges facing the profession in globalised environment, the statement added.