India - Egypt Relations

India and Egypt are two of the world's oldest civilisations, and their friendship is one of the oldest in modern Asia and Africa. Egypt is also India's gateway to the wider African continent, so these notes first set out India's partnership with Africa as a whole and then look closely at where India and Egypt stand today. For the bigger picture of India's place in the world, you can explore more study notes on the Learnacy Hub and in our International Relations collection.

Historical background

Long before colonial powers arrived, India's west coast and Africa's east coast were linked by busy Indian Ocean trade routes. Over the centuries these trades gradually dwindled.

Colonisation harmed contacts and eroded trade confidence. However, the independence of India and of African nations built the momentum once more. Even with its leadership in the fight against apartheid, especially in South Africa, and its support for decolonisation, India's early role in Africa stayed limited. India kept working to be Africa's natural ally under the banner of the Non-Aligned Movement (NAM).

Because of the dramatic changes in both regions over the last half century, India-Africa partnerships today exist at many levels. Despite pockets of civil strife, the African continent has a positive outlook.

The African Renaissance is gaining global attention because most African countries have embraced multiparty democracy, and Sub-Saharan Africa is home to seven of the world's ten fastest growing economies.

Economic relationship

Over the last two decades India has grown into one of the world's most powerful economies, which has laid the groundwork for India-Africa partnerships to reach new heights. The presence of roughly two million people of Indian origin on the continent adds to the case for engaging Africa.

There are also economic reasons, such as Africa's valuable natural resources and its fast growing middle class market. Following the 2008 and 2011 India-Africa Summits, a series of development initiatives was announced and several steps were taken.

Consider some of the facts that support India's engagement in Africa.

• India-Africa trade grew from about US$20 billion in 2010 to around US$53 billion in 2011, with projections at the time of roughly US$90 billion by 2015.
• During the first summit in 2008, India offered preferential market access to 34 African least developed countries.
• India extended lines of credit (LOCs) totalling roughly US$10 billion.
• India's Ministry of External Affairs (MEA) set up a dedicated Development Partnership Administration to implement projects under these lines of credit.
• The Indian Technical and Economic Cooperation (ITEC) programme is a strong example of South-South cooperation between India and Africa.
• FOCUS AFRICA was launched by the Ministry of Commerce to promote trade and investment with Sub-Saharan African countries.

Way forward

The Indian Technical and Economic Cooperation programme (ITEC) is a bilateral assistance programme run by the Indian government. It is demand driven and response oriented, and it aims to meet the needs of developing countries through technological cooperation between India and its partner countries.

ITEC covers around 160 countries across Asia, Africa, Latin America, Central and Eastern Europe, and several Pacific and Caribbean nations, along with its special Commonwealth Assistance for Africa programme.

Africa's push for globalisation has been shaped by both domestic and external forces. Domestic policy covers agriculture, industry and services, and the use of monetary and fiscal tools. External policy deals with trade, capital flows and development assistance, including the choice between import substitution and export led growth.

Import substitution can displace some labour as demand shifts from home made to foreign goods and services, while export led growth can help existing and new industries raise output and employment.

A shift away from the state and towards the market is shaping these domestic and external policies.

African economies have opened up in this regard, but with unequal bargaining power compared with developed countries. Their exports have been dominated by commodities, with falling terms of trade, low levels of foreign direct investment (FDI), declining aid, and limited trade within the region. In this setting, both China and India have built a path into Africa as developing partners that are more open to African needs. On careful consideration, many studies argue that India is a better long term partner than China.

What makes India a strong African partner?

According to several studies, India has done better than China at hiring local Africans for its business ventures, while some Chinese firms have faced criticism over low wages and harsh working conditions.

India has a real advantage in education and information technology, and it can support African development through skill transfer and human resource development.

Online education is one area of ICT that could be especially useful for Africa. India, alongside countries such as the United States, is a world leader in this field. India's e-learning solutions are far less expensive than those in the United States, and they are delivered in English, which suits many African classrooms.

India also has expertise in areas that could help Africa tackle its food security challenges, including small farm mechanisation. Indian investors have planned to grow maize, palm oil and rice in East Africa.

Health care and pharmaceuticals are two more areas where India offers a useful model: a plural, multicultural and democratic system that suits Africa's diverse ethnic, linguistic, religious and community make up.

Technology and science

The Pan-African e-Network is an ICT project between India and the African Union. It aims to connect African Union member states to India and to each other through a satellite and fibre optic network. This allows the sharing of expertise in tele-education, telemedicine, Voice over Internet Protocol, resource mapping, weather services and e-governance.

The project, which extends ICT infrastructure to rural and previously underserved areas, has been described as one of Africa's largest ever in the ICT sector.

It has been praised as an example of India using soft power to advance its economic and strategic interests in Africa, and as an example of South-South cooperation that helps bridge Africa's digital divide.

Importance of energy

India's engagement in Africa is driven in large part by mining and hydrocarbons. Over 70% of India's oil comes from West Asia (the Middle East).

Delhi is keen to diversify its crude oil suppliers by buying more oil from African countries. For this reason, India has worked to strengthen ties with major oil producing African nations such as Nigeria, Ghana and Sudan, and it also imports coal from South Africa.

India's oil imports grew from around 22 million tonnes in 2004-05 to more than 35 million tonnes in 2010-11. Africa accounts for roughly a quarter of India's crude imports, with Nigeria being the largest African source. India has also invested in oil and gas blocks in several regions, including Sudan.

The Gulf of Guinea, which stretches along West Africa, has become one of the world's newer hotspots in the oil industry, and analysts see strong long term growth potential in Africa's energy sector. India's TEAM-9 initiative (Techno-Economic Approach for Africa-India Movement) envisages cooperation between India and eight West African countries: Burkina Faso, Chad, Cote d'Ivoire, Equatorial Guinea, Ghana, Guinea-Bissau, Mali and Senegal.

Political significance

Beyond economic cooperation, India has regularly contributed troops to African peacekeeping missions. Since 1960, more than 100,000 Indian troops have taken part in over 40 missions. India also has a strategic interest in this support, as it needs the backing of African countries in its bid for a permanent seat on the United Nations Security Council.

These growing ties led, in April 2008, to the first India-Africa Forum Summit in Delhi. The aim was to build a strong partnership in key areas such as trade and energy, and on global issues such as UN reform, terrorism and climate change.

At the same time, India sought the support of African nations on international peace and security, poverty reduction, human resource development, health, capacity building and ICT cooperation. The optimism at the summit was backed by a sharp rise in India-Africa trade over the preceding five years.

Cultural significance

Beyond economics, India's engagement with Africa has wider social and cultural effects. India's limited knowledge of Africa has sometimes led to distorted images, often based on colonial stories and selective reporting on famines, droughts and wars.

These need to be corrected through accurate information and cultural exchange. Views of India in Africa have often been shaped by a mix of Bollywood films and songs, the conduct of Indian traders, and stories about India's recent growth.

When both sides benefit economically, there are real opportunities for dialogue and cultural enrichment. Genuine person to person contact, whether through civil society, information technology, travel or study trips, can build a deeper exchange between the two.

Such steps can bring to life Gandhian ideas of ties that go beyond material concerns and embrace a more humane and non-exploitative relationship.

As part of the ITEC initiative, India has shared its Covid-19 management strategies and run training webinars for African healthcare professionals, led by Indian health experts.

What is the India-Africa Forum Summit (IAFS)?

The India-Africa Forum Summit (IAFS) is the official platform for relations between India and African nations.

Since 2008 it has been held roughly once every few years. India has built ties with the 54 African states through the African Union (AU) by holding these summits in cities such as New Delhi (2008), Addis Ababa (2011) and New Delhi (2015).

Why it still matters: India and Egypt today

Egypt sits where Africa, West Asia and the Mediterranean meet, and its Suez Canal carries a large share of world trade, so what happens there directly affects India's exports, oil supply and shipping costs. India and Egypt first set up diplomatic relations in 1947, and their early leaders, Jawaharlal Nehru and Gamal Abdel Nasser, were founding figures of the Non-Aligned Movement mentioned earlier in these notes. That old friendship has moved sharply back into focus over the last few years.

• Chief guest at Republic Day 2023. Egyptian President Abdel Fattah el-Sisi was the chief guest at India's 74th Republic Day on 26 January 2023, the first time an Egyptian president held that honour. Egypt was also invited as a guest country during India's G20 presidency in 2023.
• Ties raised to a Strategic Partnership. In June 2023, Prime Minister Narendra Modi made the first visit by an Indian prime minister to Egypt in more than two decades. The two countries agreed to raise their relationship to a Strategic Partnership, and Modi was awarded the Order of the Nile, Egypt's highest state honour.
• Trade is growing, with a bigger target. India-Egypt trade was about US$6.06 billion in 2022-23, and the two governments have set a goal of reaching US$12 billion within five years.
• Egypt joins BRICS. On 1 January 2024, Egypt became a full member of BRICS, the group that already includes India. This gives the two countries another table at which to work on trade, finance, and settling some deals in their own currencies rather than only in US dollars.

So the India-Africa story in these notes is not only history. It is being written right now, and Egypt is one of its most important new chapters. To see how these relationships connect to geography, economics and global institutions, keep exploring the study notes on the Learnacy Hub and the wider Resources library.

Sources

1. Ministry of External Affairs, India-Egypt Bilateral Relations brief
2. Press Information Bureau, welcome to President el-Sisi, Republic Day 2023
3. MP-IDSA, PM Modi's visit to Egypt: building a strategic partnership
4. Al Jazeera, Egypt and India bolster ties as Modi makes first trip to Cairo
5. India Briefing, India-Egypt bilateral trade and investment
6. Atlantic Council, BRICS is doubling its membership

Key takeaways

• India and Egypt have one of the oldest friendships between Asian and African nations, with historical trade links predating colonisation
• India-Africa trade grew from about US$20 billion in 2010 to around US$53 billion in 2011
• India extended lines of credit totalling roughly US$10 billion for African development, managed by a dedicated Development Partnership Administration
• India is considered a better long-term partner than China due to better local hiring practices and expertise in education, IT, and food security
• The Pan-African e-Network is an ICT project connecting African Union member states to India for tele-education and telemedicine

Test yourself

Egypt serves as India's gateway to which continent?

Africa

By how much did India-Africa trade grow from 2010 to 2011?

From about US$20 billion in 2010 to around US$53 billion in 2011

What is the total value of lines of credit India extended to Africa?

Roughly US$10 billion

Frequently asked questions

What is the India-Africa Forum Summit (IAFS)?

The India-Africa Forum Summit is a platform established to deepen India-Africa partnerships through structured summits and development initiatives, as outlined in the note.

Why does Egypt matter for India’s engagement with Africa?

Egypt is described as India’s gateway to the wider African continent, historically linking trade routes and serving as a key partner in modern engagements.

What is the purpose of India’s Development Partnership Administration?

It was set up by India’s Ministry of External Affairs to implement projects funded through lines of credit extended to African countries.

How does the ITEC programme reflect South-South cooperation?

ITEC is a bilateral assistance programme that provides technological cooperation between India and developing countries, including African nations, emphasizing demand-driven support.