During a five-year program which was started by Indian officials to create a stronger bong and connection with Africa about $5.4 billion have been earned in credit. $2.3 billion out of this money were earned last year and have been made available for Africa.
If the number of investments across the African continent is added up they amount to more than $45 billion and $45 billion is also the amount of money that has been made from the trade between India and Africa.
The credit given to India is supposed to help with the challenges the country is facing such as those concerning human resources, capacity building and infrastructure. During the summit between Africa and India next month that is supposed to take place in Addis Ababa, India wants to find more effective ways in collaborating with the continent.
According to officials the relationship between India and Africa has started many years back, but has only become prosperous and growing within the last couple of years.
Many Indian business moguls such as Mahindra, NSIC, IRCON and Tata have helped to turn India into the second largest supporter and trading partner of Africa right after Nigeria. Nigeria has such a good position because it simply has more means to attract investment.
India imports great amounts of petroleum related products from Nigeria and Sudan. Close to 80 percent of the energy used in India comes from the global market because the topic of energy security has always been a very important subject.
Some sectors that can also be used to enhance trade include pharmaceuticals because African countries are known to be great suppliers of drugs with a high quality and cheap prices. In contrast the demand in India for reasonably priced drugs is fairly high but the supply is rather low. Also textiles, automobile centers, services in the sectors of communication technology, and equipment and machinery could work together quite well. Collaboration would benefit the people most of all. African officials are quite confident that there are many opportunities that have not been explored yet and that India and Africa can work together better and more efficiently in the future in terms of trade and investment.