AfDB and India Deepen Strategic Partnership Ahead of 2026 India-Africa Forum Summit

Healthcare and industrial development form another pillar of cooperation, particularly in addressing Africa’s $111 billion pharmaceutical investment gap by 2030.

The African Development Bank Group (AfDB) and India are intensifying cooperation across digital infrastructure, industrial development, and finance, as both sides prepare for the fourth India-Africa Forum Summit (IAFS) scheduled in New Delhi on 31 May 2026.

The renewed engagement reflects a broader push to scale up South-South collaboration, leveraging shared development experiences to deliver cost-effective, scalable solutions across Africa's rapidly evolving economies.

Aligning with AfDB's Strategic Priorities

The partnership is closely aligned with AfDB's "Four Cardinal Points" strategy, which prioritises:

• Expanding access to capital

• Strengthening financial systems

• Advancing digital infrastructure

• Accelerating industrialisation

India, a member of the Bank since 1983, has consistently supported its growth by contributing to all general capital increases—enhancing the institution's ability to finance infrastructure, economic recovery, and development projects across Africa.

Trade Nears $100 Billion as Economic Ties Deepen

Economic relations between India and Africa have expanded significantly, with bilateral trade approaching $100 billion in 2024–25, spanning key sectors such as energy, infrastructure, agriculture, and technology.

This growing engagement is increasingly reflected in AfDB-financed operations:

• 173 contracts awarded to Indian companies (2020–2025)

• Total value of approximately $760 million

• Representing 5.3% of total procurement under Bank projects

This participation not only strengthens project delivery capacity but also enhances private sector involvement in priority sectors, enabling faster implementation of large-scale development initiatives.

A high-level AfDB delegation led by Vice President Solomon Quaynor visited India in September 2024, engaging with industry leaders to expand collaboration in pharmaceuticals, agriculture, and technology—sectors seen as critical for Africa's transformation.

Digital Public Infrastructure at the Core

Digital transformation has emerged as a cornerstone of the partnership. India's globally recognised experience in building large-scale digital public infrastructure—including interoperable payment systems and identity platforms—is being leveraged to support Africa's financial inclusion agenda.

Key initiatives include:

• $2 million contribution to the African Digital Financial Inclusion Facility (2023)

• $6 million India Trust Fund (Phase III) signed in 2024

These investments are supporting:

• Expansion of digital payment systems

• Development of interoperability frameworks

• Increased access to financial services for underserved populations

Experts say such systems can dramatically reduce transaction costs, improve transparency, and unlock new economic opportunities across the continent.

Closing the Pharmaceutical Gap

Healthcare and industrial development form another pillar of cooperation, particularly in addressing Africa's $111 billion pharmaceutical investment gap by 2030.

Through the African Pharmaceutical Technology Foundation, AfDB is promoting:

• Local manufacturing of medicines and vaccines

• Technology transfer and capacity-building

• Strengthening supply chains to reduce import dependence

India, one of the world's leading producers of vaccines and generic medicines, is expected to play a key role by sharing expertise and supporting industrial partnerships.

This collaboration aims to improve health security while simultaneously boosting Africa's industrial base.

A Model of Scalable South-South Cooperation

What sets the India-Africa partnership apart is its focus on adaptable, scalable solutions—designed to work across diverse economic and geographic contexts.

By aligning capital, technology, and implementation capacity, the partnership is helping to:

• Accelerate infrastructure development

• Expand digital and financial inclusion

• Strengthen industrial ecosystems

• Create jobs and economic opportunities

Looking Ahead to IAFS 2026

The upcoming India-Africa Forum Summit is expected to serve as a critical platform for:

• Announcing new financing mechanisms

• Expanding private sector engagement

• Strengthening technology partnerships

• Scaling up development programmes across priority sectors

With momentum building across trade, investment, and technical cooperation, AfDB is focused on translating this partnership into measurable, high-impact outcomes for its regional member countries.

As both sides prepare for the summit, the evolving collaboration underscores a broader shift in global development—where partnerships among emerging economies are increasingly driving innovation, resilience, and inclusive growth.