India will need over 30 lakh Chartered Accountants by 2047 — the centenary of India’s independence. Photo shows ICAI President Charanjot Singh Nanda | Photo: ANI
The Institute of Chartered Accountants of India (ICAI) has taken a landmark step by announcing that, starting January 2025, the CA Final exams will be conducted three times a year — in January, May, and September. This aligns the final level with the intermediate and foundation levels, which already follow a thrice-a-year schedule. More importantly, it signals a shift towards making the CA qualification more student-friendly and globally competitive.
This move comes at a crucial time. The former ICAI President, Ranjeet Agarwal stated that India will need over 30 lakh Chartered Accountants by 2047 — the centenary of India’s independence. Currently, ICAI has around 4,00,000 members and 8,50,000 active students. To meet the 30 lakh target, the institute needs to produce over 1,30,000 CA’s every year. That’s a steep climb, and increasing exam frequency is a pragmatic and necessary step in that direction.
Alternative qualifications
At the same time, the course is witnessing a decline in new enrollments — falling nearly 30% over the last decade, from 3,11,000 in 2013 to 2,24,000 in 2022. Why? Alternative qualifications such as CPA, CFA, and ACCA are becoming more attractive, thanks to higher pass percentages and more flexible formats.
For instance, CFA has pass rates of 45% (L1), 39% (L2), and 48% (L3), ACCA ranges from 37% to 89% across its 13 papers, and CPA’s average pass rate hovers between 45% to 55%. Compare this with CA’s pass rates — Foundation (21.52%), Intermediate (14.05% for both groups), and Final (13.44% for both groups) — and the picture becomes clear: the CA course demands unmatched rigour and commitment.
Meeting global standards
From a global lens, this move is long overdue. Other professional qualifications already offer multiple exam windows annually — CFA exams happen between two and four times a year, CPA follows a rolling window, and ACCA has four sittings a year. Until now, the CA exam frequency was restrictive. By moving to three exams a year, ICAI is bringing India’s premier finance qualification in line with international benchmarks, increasing its appeal to students and employers alike.
The change also benefits students on a practical level. Reducing the waiting time between attempts from six to four months allows students to recover faster from setbacks. They can now plan their attempts better, maintain momentum, and finish the course sooner. The recent introduction of MCQs across all subjects at the Intermediate and Final levels is another welcome shift — one that encourages conceptual clarity and objective thinking. These reforms are quietly but steadily pushing the system towards global standards.
Space to re-strategise preparation
The added flexibility also demands greater responsibility. Students must resist the urge to rush into attempts and instead focus on structured preparation. The new attempt windows are a chance to reduce pressure — not to compromise on quality.
Having gone through the grind myself, I know what it takes to prepare for these exams. The emotional and mental strain of studying 12 hours a day, for months, is intense. For those who don’t clear in the first attempt, the six-month wait used to feel like a never-ending pause. This change will allow students to reflect, re-strategise, and bounce back much quicker.
Step in the right direction
But is this enough? Not yet. The ICAI must go further. We need a complete shift in the examination structure — imagine if the entire paper were objective and concept-driven, like other global certifications. We need more practical exposure, integration of AI and digital finance, and emphasis on soft skills to build future-ready professionals.
That said, this is a major step in the right direction. It gives hope to lakhs of students, reignites momentum in the profession, and puts the CA course back in the conversation when students weigh their career options.
Published – April 12, 2025 07:55 pm IST