Prime Minister Narendra Modi on Wednesday reaffirmed India’s commitment to deepening bilateral trade and investment ties with Ethiopia, outlining a broad roadmap for enhanced cooperation across digital infrastructure, critical minerals, clean energy, agriculture, and food security.

During talks with Ethiopian Prime Minister Dr Abiy Ahmed, PM Modi conveyed India’s readiness to step up collaboration in emerging and strategic sectors, including Digital Public Infrastructure (DPI), mining and critical minerals, clean and renewable energy, as well as agricultural development and food security. The discussions reflected the growing convergence between the two countries as they seek to expand economic engagement and address shared development priorities.

The two leaders reviewed progress in key areas such as trade and investment, innovation and technology, education, and capacity building. Prime Minister Modi highlighted India’s role as a trusted and long-term development partner, noting that Indian companies have invested more than $5 billion in Ethiopia across vital sectors such as manufacturing and pharmaceuticals. These investments, he said, have generated over 75,000 local jobs, contributing significantly to Ethiopia’s industrial growth and employment creation.

PM Modi also pointed out that Indian investment momentum has continued in recent years. In 2024 alone, 11 Indian companies invested in Ethiopia in sectors including agriculture, automobiles, iron and steel, and information and communication technology. Indian firms have played a leading role in Ethiopia’s textile industry, which has emerged as a major destination for foreign direct investment. India is also among the top investors in Ethiopia’s pharmaceutical sector, supporting access to affordable medicines and healthcare capacity.

Trade figures further underline the strength of bilateral economic ties. India–Ethiopia total trade stood at $550.19 million in FY 2024–25, with Indian exports accounting for $476.81 million and imports at $73.38 million, making the relationship strongly export-driven. Ethiopia also benefits from India’s Duty-Free Tariff Preference (DFTP) scheme for Least Developed Countries, which both sides see as a key mechanism for boosting trade and technical cooperation.

A major outcome of the visit was the signing of eight Memoranda of Understanding (MoUs), reflecting the expanding scope of bilateral engagement. These included upgrading India–Ethiopia relations to a ‘Strategic Partnership’, cooperation in customs, the establishment of a data centre at Ethiopia’s Ministry of Foreign Affairs, collaboration in UN peacekeeping training, debt restructuring under the G20 framework, and expanded opportunities for Ethiopian students through ICCR scholarships and artificial intelligence short courses.

The two Prime Ministers also reaffirmed their commitment to working together to amplify the voice of the Global South. They discussed closer coordination in multilateral forums, including the United Nations, and called for enhanced cooperation on climate change, renewable energy, and disaster risk reduction.

In this context, both leaders welcomed collaboration through international initiatives such as the International Big Cat Alliance, the Coalition for Disaster Resilient Infrastructure, the Global Biofuel Alliance, and the International Solar Alliance. Prime Minister Modi also noted that India looks forward to working closely with Ethiopia as BRICS partners during its presidency and in the lead-up to the proposed India–Africa Forum Summit.

The talks underscored the growing strategic and economic partnership between India and Ethiopia, anchored in shared development goals, South–South cooperation, and a commitment to sustainable and inclusive growth.