A Case Study of Nigeria
India’s Strategic Engagement with West Africa.
India’s evolving foreign policy increasingly emphasises Africa, with Nigeria at the heart of its West Africa strategy. This renewed focus aligns with India’s aspirations to enhance its global stature and contribute meaningfully to the Global South. Prime Minister Narendra Modi’s visit to Nigeria in November 2024 marked a turning point, demonstrating India’s commitment to fostering deeper bilateral ties with Africa’s largest democracy and economy.
As the largest economy in Africa, Nigeria provides a critical foothold for India to engage with the wider West African region. This strategic partnership is not only about trade and defence but also serves as a means to strengthen India’s influence in a rapidly evolving geopolitical landscape where China’s role looms large.
Historical Foundations of the India-Nigeria Partnership
India’s connection with Nigeria dates back to the pre-independence era. Both countries share a legacy of colonial struggles and a mutual commitment to the Non-Aligned Movement during the Cold War. In 1958, India established its Diplomatic House in Lagos, further solidifying its commitment to fostering relations even before Nigeria’s independence in 1960.
Post-independence, India became a trusted partner in Nigeria’s development. It contributed to the establishment of key institutions such as the National Defence Academy in Kaduna and the Naval War College in Port Harcourt. Through initiatives like the Indian Technical and Economic Cooperation (ITEC) programme, India offered civilian and defence training, helping shape Nigeria’s institutional capabilities.
The 2007 Strategic Partnership Agreement marked a new chapter, institutionalizing collaboration across sectors such as trade, defence, education, and cultural exchange. This agreement underscored both nations’ commitment to fostering a partnership rooted in mutual benefit and respect.
Significance of Prime Minister Modi’s Visit
Prime Minister Modi’s 2024 visit to Nigeria—the first by an Indian Prime Minister in 17 years—underscored India’s renewed focus on Africa. Modi’s engagement with Nigerian President Bola Ahmed Tinubu highlighted shared priorities in defence, energy, trade, technology, and education.
The conferment of Nigeria’s second-highest national honour, the Grand Commander of the Order of the Niger, on Modi symbolized Nigeria’s recognition of India as a strategic ally. Furthermore, three Memoranda of Understanding on cultural exchange, customs cooperation, and survey collaboration were signed, providing a framework for enhanced bilateral ties.
Modi’s visit also showcased India’s commitment to addressing security challenges faced by Nigeria, including counterterrorism operations against Boko Haram and piracy threats. By offering defence support and counterinsurgency expertise, India positions itself as a reliable partner in regional stability.
Economic Dimensions of India-West Africa Relations
The economic relationship between India and Nigeria is robust, with over 200 Indian companies contributing approximately $27 billion to Nigeria’s economy. These investments span critical sectors like manufacturing, pharmaceuticals, automotive industries, and power transmission. Indian companies are the second-largest employers in Nigeria, underscoring their significant economic impact.
Trade between the two nations, while complementary, has faced fluctuations. The trade volume declined from $14.95 billion in 2021-22 to $7.89 billion in 2023-24, largely due to India’s increased oil imports from Russia. However, Nigeria remains a vital partner for India’s energy security and broader strategic interests.
India’s exports to Nigeria include refined petroleum products, pharmaceuticals, engineering goods, and motorcycles, while Nigeria exports crude petroleum, natural gas, and nitrogenous fertilizers. These trade dynamics reflect the interdependence of their economies and the potential for further diversification in areas like renewable energy and digital technology.
Challenges and the Role of Global Competition
India’s engagement with Nigeria faces challenges, particularly from China’s growing presence in Africa. China has invested over $47 billion in Nigerian infrastructure, with projects like the Lekki Deep Sea Port and Abuja Light Rail showcasing its dominance in shaping Nigeria’s development trajectory. Chinese technology giant Huawei’s extensive presence in Nigeria further strengthens China’s influence.
India’s economic capacity, while significant, is limited compared to China’s, which boasts a GDP nearly five times larger. China’s swift execution of projects under its Belt and Road Initiative contrasts with India’s occasional delays, affecting its perceived credibility. However, India’s focus on sustainable, people-centric development offers a unique and compelling alternative to China’s debt-heavy approach.
Strategic Opportunities for India
To strengthen its relationship with Nigeria and overcome challenges, India is using a multifaceted strategy. Defence cooperation is a key focus, with Nigeria showing interest in Indian arms and counterterrorism expertise, boosting India’s reputation as a reliable defence supplier in Africa. Through the ITEC program and concessional loans, India emphasizes skill development and capacity building to support Nigeria’s growth. Healthcare is another area of collaboration, with India offering its CoWIN digital platform and affordable medicines to improve healthcare systems in Nigeria.
India and Nigeria are also exploring renewable energy partnerships, focusing on solar and wind technologies to diversify energy sources. Indian companies are expanding their presence in Nigeria, contributing to manufacturing, infrastructure, and other industries by leveraging cost-effective production methods. These private sector initiatives highlight India’s ability to support Nigeria’s economic growth while fostering stronger bilateral ties across various fields. Together, these efforts reflect India’s commitment to sustainable development and mutual progress with Nigeria.
Sectors of Indian Advantage
India has built strong areas of expertise in Nigeria’s economy, especially in pharmaceuticals, where Indian companies lead by providing affordable medicines to the population. In IT education, firms like NIIT and Aptech play a major role by training Nigerian professionals, helping them gain valuable skills. These efforts strengthen the workforce and enhance India’s reputation as a partner in knowledge sharing.
In manufacturing, India’s cost-effective production methods make it competitive in consumer goods and the automotive industry. Additionally, Indian firms excel in project management, contributing significantly to infrastructure projects in Nigeria. Their focus on quality and efficiency ensures successful outcomes, supporting Nigeria’s development goals. These sectors showcase India’s ability to provide impactful and reliable solutions, fostering deeper economic ties between the two nations.
Looking Ahead: The Road to Deeper Collaboration
India and Nigeria’s partnership offers immense potential for both nations and the broader Global South. Collaborative efforts in renewable energy, digital transformation, and multilateral cooperation could redefine their relationship, setting a precedent for equitable partnerships.
Future initiatives such as local currency settlement systems, long-term energy contracts, and capacity-building programmes will strengthen economic resilience. Moreover, fostering people-to-people connections and enhancing cultural exchanges will be vital for deepening mutual trust and understanding.
Conclusion
The India-Nigeria relationship exemplifies the potential of strategic partnerships rooted in shared values and mutual respect. While challenges persist, India’s sustainable development model and emphasis on capacity building present a viable alternative to debt-driven approaches. As leaders in the Global South, India and Nigeria have the opportunity to shape a more equitable global order. By leveraging their strengths and addressing shared challenges, their partnership can serve as a model for South-South cooperation, fostering innovation and shared prosperity. India’s strategic engagement with Nigeria is a testament to its broader ambitions in West Africa, reinforcing its role as a trusted partner in the region’s development journey.
Subscribe to our Youtube Channel for more Valuable Content – TheStudyias
Download the App to Subscribe to our Courses – Thestudyias
The Source’s Authority and Ownership of the Article is Claimed By THE STUDY IAS BY MANIKANT SINGH
