India-Nigeria Joint Trade Committee Holds Second Session in Abuja
Context:
The second session of the India-Nigeria Joint Trade Committee convened in Abuja to discuss recent developments in bilateral trade and investment relations. Both parties recognized the significant untapped potential for expanding cooperation further.
Relevance:
GS-02 (International Relations)
Key Areas of Focus:
- Market Access Resolution: Addressing market access issues on both sides to facilitate smoother trade flows.
- Sectoral Cooperation: Emphasizing collaboration in crucial sectors such as crude oil, natural gas, pharmaceuticals, Unified Payments Interface (UPI), local currency settlement systems, power, renewable energy, agriculture, food processing, education, transportation, railways, aviation, and micro, small, and medium enterprises (MSMEs).
- Local Currency Settlement System: Prioritizing the early conclusion of the Local Currency Settlement System Agreement to bolster economic ties between the two nations.
India-Nigeria Economic Ties:
- Nigeria holds a significant position as India’s second-largest trading partner in the African region.
- Bilateral trade between the two countries reached USD 11.8 billion in 2022-23 but experienced a decline to USD 7.89 billion in 2023-24.
- Indian investments in Nigeria amount to USD 27 billion, with approximately 135 Indian companies actively participating in the Nigerian market across various sectors such as infrastructure, manufacturing, consumer goods, and services.
