The MoU was signed by Iran's Navy Commander of Islamic Revolution Guards Corps (IRGC), Rear Admiral Ali Fadavi, and Iraqi Navy Vice Admiral Ali Hussain Ali, Xinhua reported.
During the meeting, the two commanders also stressed further joint defence cooperation.
Fadavi underlined the expansion of defense cooperation between the navies of the two countries was in line with the needed reinforcement of security and stability in the region.
The Iraqi commander, for his part, said that the Iran-Iraq cooperation was beneficial to the people of the region. He added that Baghdad was ready to boost cooperation with Iran particularly in the maritime sector.