India bets big on Africa
India will be hosting the fourth India-Africa Forum Summit (IAFS-IV) towards the end of May, 11 years after the earlier one, which was held in Delhi in 2015. The first Summit was held in April 2008, and the second in May 2011 in Addis Ababa. With India and Africa having strong trade and diplomatic ties, with the current shift in geopolitics, this meeting appears timely.
Though there is no possibility of any talks regarding an FTA with the African Union (AU), there would be a series of bilateral talks between various countries of the AU and India. This is primarily for two reasons: unlike the EU, which has a common currency, the African Union is varied and diverse, not just in its currency exchanges but also in policy and demographics.
During 2024-25, trade between India and Africa amounted to $81.99 billion (with India’s exports amounting to $42.6 billion and imports touching $39.2 billion. India has now extended a Duty-Free Tariff Preference (DFTP) Scheme for Africa, which extends duty-free access to 98.2 per cent of India’s tariff lines for ‘least developed countries’, benefiting 33 African nations.
“The implementation of the African Continental Free Trade Area (AfCFTA) has enhanced prospects for intra-African trade and created new opportunities to engage with a more integrated African market and advancing mutually beneficial co-operation,” informs a government official. “India’s cumulative investment in Africa has reached, say, $80 billion by 2025”.
Indian companies have established a strong presence across sectors, such as energy, mining, telecommunications, manufacturing, agriculture and services. Several Indian companies are involved in building and maintaining transmission lines, as well as telecom services. Indian infrastructure companies have built roads, bridges, power plants, public buildings, metro and rail networks in countries such as Kenya, Ethiopia, Ghana, Mauritius, Mozambique, Tanzania and Zambia. Today, India is Africa’s fourth-largest trading partner and among its top five investors.
India has also increased its crude imports from Africa, which stands at 10 per cent of its total crude imports. Its major suppliers are Angola, Nigeria, Egypt, Gabon and South Africa. Meanwhile, it may be recalled that India had included the AU as a member of the G20 during its presidency in 2024. India has a strong diplomatic presence across Africa, with some 46 missions (out of 54 countries).
“There have been nearly 50 high-level delegations to Africa from India during the past 10 years and over 100 from Africa to India too,” says a government official. “This shows the level of commitment India has for Africa”. Many heads of state are likely to visit the summit, he adds, though the names are yet to be finalised.
Similar agenda
The African Union, which was formalised in 2002, has a similar agenda to the government of India’s Viksit Bharat 2047. India has also deployed over 4,000 peacekeepers in United Nations missions across Africa, contributing to peace and stability on the continent. The defence co-operation programmes between India and Africa include training, capacity building, joint exercises and defence exports. India conducts joint exercises, such as the Africa-India Field Training Exercise (AFFINDEX), and organises India-Africa Defence Ministers’ Conclaves too.
There is also maritime co-operation guided by India’s SAGAR (Security and Growth for All in the region) doctrine. AIKEYME (Africa India Key Maritime Engagement) 2025, a six-day multilateral naval exercise, was held from 13-18 April 2025 in Dar-es-Salaam, Tanzania. Co-operation in the maritime domain includes anti-piracy operations, hydrographic surveys, port development and support for the blue economy across coastal African countries.
India has supported agricultural development through initiatives in farm mechanisation, irrigation, seed development and fertiliser production, in countries such as Senegal, the Ivory Coast, Kenya, Ethiopia, Cameroon and Ghana. “India’s concessional loans and lines of credit (LoC) have facilitated the establishment of critical facilities such as sugar mills in Ethiopia and Ghana, cassava plantations in Cameroon and rice processing units across Central and West Africa. This relationship is further strengthened by the Cotton Technical Assistance Programme (C-TAP) and the sharing of climate-resilient farming practices, which empower local farmers with sustainable R&D and modern mechanisation,” the official adds.
India has extended over 160 LoCs to 41 countries in Africa, aggregating to about $10 billion. Over 220 projects aggregating $4.5 billion have been completed. These LoCs are used to finance projects in sectors such as power, thermal, hydro, solar, roads, water purification, agriculture and food processing, amongst others.