"The skill development ministry's proposal has been approved by the Cabinet headed by Prime Minister Narendra Modi," a source said.
The memorandum of understanding between the two countries is with respect to cooperation in skill development, vocational education and training, the source added.
India and France had signed 17 agreements during Modi's visit to the European nation in April last year. The agreements signed were in energy, culture, tourism, conservation, ayurveda, skill development and science and technology, among others.