IBE Group 10

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%urrent Economic Relations• &i-lateral India-Africa trade increased !y an a#era'e of

some () * annually !et"een )00+ and )011,"ith pro ections in the . D/0 !illion ran'e for )01+

• Direct in#estment from India into African economies in mainly keyinfrastructure pro ects such as I , ener'y e traction, automo!iles,telecommunications and the like

• he pri#ate sector has not !een la''in' and si'ni2cant economiclinka'es ha#e arisen due to the inter#entions of the pri#ate sector fromIndia

• he fact that Indian- African trade and economic relations continued to'ro" e#en throu'h periods of some economic crisis su''ests potentialthat has yet to !e fully e ploited

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rade 3lo"s• &i-lateral India-Africa trade incre

!y an a#era'e of ()* !et"een )00+and )011, reachin' 4/0 !illion for)01+

• Direct in#estment from India intoAfrican economies in mainly keyinfrastructure pro ects such as Iener'y e traction, automo!iles,telecommunications etc5

• Africa has run a trade surplus,recently estimated at 46 !illion in)017

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Africa E ports to India• Africa8s lar'est imports from India

accountin' for ust ) * of its o#erallimports

• 9ineral fuels :mostly non-crudepetroleum oils; are still the sin'le lar'eimport cate'ory :a#era'in' )6 * of totaimports from India durin' )010-17;

•

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Indian in#estment in Africa•

Indian in#estment into Africa has arich and di#ersi2ed history• It ran'es from spices and te tiles to

si'ni2cant in#estments in the naturalresources sector• India8s dependence on ener'y

imports, are partly ful2lled "ith oil

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Indian in#estment in Africa• E port-Import &ank of India s

a 9o. "ith African De#elopment&ank :AfD&; to 2nance Indianpro ects totallin' 4(57 !illion

• >ine of credit used to de#elopchemical, plastics and ru!!er susector :(1*; and the marketin',sales and distri!ution su!-sector:1?*;

• India and East Africa - upportIndian rade and In#estment foAfrica : ita; - Ethiopia, @enyaR"anda, an ania and .'anda

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• East AfricaB India8s in#estment door"ay into Africa• ita Pro ect : upportin' Indian rade and in#estment for Africa;B

• A 6 year pro ect :)017-)0)0; led !y International rade %enter• ar'etin' speci2c sectors namely essential oils, sunCo"er oil , !usiness-process outsourcin',

information and communication technolo'y, leather, spices, cotton, te tiles and apparel, co ee, andpulses

• + in#estments identi2ed:. D 1= million;B construction of t"o plants for the processin' of rice and!eans in R"anda, a su'ar re2nery in an ania and a pulses processin' plant and a unit to processanimal products

•

&i''est marketsB• EthiopiaB otal commitment of . D 75? !illion "ith most pro ects related to a'riculture sector : ourceB

%onsumer .nity rust ociety :%uts;; – &i''est %ompetitorsB urkey and %hina

• @enyaB Indian 3DI in @enya amounted to around . D15+11 !illion in the )01)-1( 2scal year – Indian 2rms ha#e !een lar'ely acti#e in the telecommunications, !ankin' and insurance, minin',

healthcare, ports and roads, Coriculture, and ener'y sectors• an aniaB Accordin' to the Fi'h %ommission of India in Dar es alaam, Indian in#estments in an ania

reached ust- o#er . D) !illion1+ o#er the 1//0-17 period – @ey focus on manufacturin', communication, construction and trade sectors

In#estment in Eastern Africa

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IGERIA• %apital imports from India usually account for less than 1 * of the

total capital imports into i'eria capital imports in this case refersto forei'n direct in#estment :3DI;

• %apital imports from India amounted to only . D1+5/ million in)01(, and declined to . D65? million in )017, accordin' to the

i'eria ational &ureau of tatistics : & ;• A 2rm foothold on i'eria8s hydrocar!on sector o"in' to Indian

interest in i'erian oil

GFA A• he #alue of Ghana8s ne"ly-re'istered 3DI pro ects reached . D(57

!illion in )0173DI from India amounted to . D)+5? million in K1,)017 representin' the lar'est in#estment !y any country intoGhana durin' that Huarter

• India in#ested in nine pro ects in Ghana durin' the follo"in'Huarter !ecomin' the country that in#ested in the most num!erof pro ects in )0175 In K), India "as also ranked as the fourth-lar'est in#estor 21 !y #alue5 India in#ested in a further se#enpro ects "ith a total #alue of . D175) million in K(

In#estment in Lestern Africa

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• India is hea#ily dependent on ener'y imports, "ith oil e ports from Africapartly ful2llin' that dependence5 As a result, India8s leadin' 'o#ernment-o"ned pu!lic sector enterprises acHuired shares assets in many countries of

orthern Africa• Indian companies ha#e a stron' and dynamic presence in E'ypt and a

num!er of Indian companies ha#e !ecome an inte'ral part of E'yptian

economy• Indian companies are pro#idin' direct and indirect employment to

appro imately (+,000 E'yptians5 he direct employment 'enerated !y Indiancompanies is more than )1,)00 and indirect employment more than 1(,+00

• he top 2#e Indian companies in terms of in#estment in E'ypt, most of themin la!our intensi#e te tile industry, pro#ide direct employment to more than1),=00 E'yptians

In#estment in orthern Africa

IBE Group 10

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