diff --git a/hadoop-hdfs-project/hadoop-hdfs/CHANGES.txt b/hadoop-hdfs-project/hadoop-hdfs/CHANGES.txt
index a1b20538b2a..58561d9a42b 100644
--- a/hadoop-hdfs-project/hadoop-hdfs/CHANGES.txt
+++ b/hadoop-hdfs-project/hadoop-hdfs/CHANGES.txt
@@ -344,6 +344,8 @@ Release 2.7.0 - UNRELEASED
     HDFS-7604. Track and display failed DataNode storage locations in NameNode.
     (cnauroth)
 
+    HDFS-7797. Add audit log for setQuota operation (Rakesh R via umamahesh)
+
   OPTIMIZATIONS
 
     HDFS-7454. Reduce memory footprint for AclEntries in NameNode.
diff --git a/hadoop-hdfs-project/hadoop-hdfs/src/main/java/org/apache/hadoop/hdfs/server/namenode/FSNamesystem.java b/hadoop-hdfs-project/hadoop-hdfs/src/main/java/org/apache/hadoop/hdfs/server/namenode/FSNamesystem.java
index 15dec21c5b3..40f0bf239dc 100644
--- a/hadoop-hdfs-project/hadoop-hdfs/src/main/java/org/apache/hadoop/hdfs/server/namenode/FSNamesystem.java
+++ b/hadoop-hdfs-project/hadoop-hdfs/src/main/java/org/apache/hadoop/hdfs/server/namenode/FSNamesystem.java
@@ -3813,14 +3813,19 @@ public class FSNamesystem implements Namesystem, FSNamesystemMBean,
       throws IOException {
     checkOperation(OperationCategory.WRITE);
     writeLock();
+    boolean success = false;
     try {
       checkOperation(OperationCategory.WRITE);
       checkNameNodeSafeMode("Cannot set quota on " + src);
       FSDirAttrOp.setQuota(dir, src, nsQuota, ssQuota, type);
+      success = true;
     } finally {
       writeUnlock();
+      if (success) {
+        getEditLog().logSync();
+      }
+      logAuditEvent(success, "setQuota", src);
     }
-    getEditLog().logSync();
   }
 
   /** Persist all metadata about this file.