The arrangement, which was unveiled at a ceremony in Ottawa yesterday, reflects the institutes’ mutual desire to support excellence in public sector financial management.

Both institutes’ recognise that PFM is becoming an increasingly important issue for governments, especially with increasing pressure for greater transparency.

The MOU will also see both CPA Canada and CIPFA work together on thought leadership, research and advocacy relating to high-quality PFM in Canada.

CIPFA executive director Adrian Pulham said: ‘This MOU is great news for both organisations as they work together in the public interest to advance good public financial management at home and around the world.

‘In the wake of the European sovereign debt crisis the proper management and governance of public resources is one of the most pressing issues of our time and the bedrock of future economic stability and growth.

‘And through working together to share our experience, skills and expertise both organisations will improve their capacity and encourage better public sector financial management wherever they are operating.’

CPA Canada president and chief executive officer Kevin Dancey added that the MOU would harness the expertise of both institutes for the benefit of Canada’s public service.

‘Both our organisations strive to serve the public interest and are engaged in building confidence and enhancing the governance processes in public sector institutions,’ he said.

CPA Canada has around 125,000 professional members, which it supports with research, guidance and education.