Union Cabinet approves signing pact between ICAI, CAAR to build cooperation

The Union Cabinet on Wednesday approved the signing of a memorandum of understanding between chartered accountants' apex body ICAI and Chamber of Auditors of the Republic of Azerbaijan (CAAR).

The signing of the MoU would help in establishing mutual cooperation in the areas of member management, professional ethics, technical research, professional accountancy training, audit quality monitoring and advancement of accounting knowledge, among other areas, an official release said.

The Institute of Chartered Accountants of India (ICAI) is a statutory body. The CAAR was set up to regulate the audit profession in Azerbaijan.

The signing of the MoU was cleared by the Cabinet, chaired by Prime Minister Narendra Modi.

Both ICAI and CAAR intend to strengthen cooperation in the areas of training of audit, finance and accounting professionals.

Further, the two entities intend to cooperate in the fight against corruption and money laundering, the release said.

"ICAI and CAAR also intend to undertake a study on application of new innovative methods in the field of audit and accounting, including application of blockchain, smart contract system, transition from traditional accounting to cloud accounting," it added.