India-Nigeria Military Deal: New Delhi to export LCA Tejas, LCH Prachand to Abuja

In the fiscal year 2021-22, bilateral trade reached approximately $15 billion, although it declined to $7.89 billion in 2023-24. Despite this, India remains Nigeria’s second-largest trading partner in Africa.

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New Delhi: India is making bold strides to establish itself as a key player in Africa’s burgeoning defence market, with Nigeria at the center of this strategy. Nigeria, the most populous nation in Africa, has emerged as a significant military spender. According to the Stockholm International Peace Research Institute (SIPRI), Nigeria increased its defence budget by 20% in 2023, totaling a staggering $3.2 billion.

Rising military expenditures in sub-Saharan Africa

Nigeria’s robust military spending is part of a larger trend in sub-Saharan Africa. This region, which includes West, East, Central, and Southern Africa, has seen a greater shift in defence expenditures. Nigeria leads the way, significantly outspending other nations in the area and positioning itself as a military powerhouse in the region.

Strengthening India-Nigeria bilateral relations

India is capitalizing on this opportunity to challenge the dominance of Russia and China in Africa. The India-Nigeria connection, while longstanding, has seen a rapid evolution. In the fiscal year 2021-22, bilateral trade reached approximately $15 billion, although it declined to $7.89 billion in 2023-24. Despite this, India remains Nigeria’s second-largest trading partner in Africa.

Jaishankar is the first foreign minister to visit Nigeria

In early 2024, India's External Affairs Minister, Dr. S. Jaishankar, became the first Indian foreign minister to visit Nigeria. During his address to the Nigeria-India Business Council (NIBC), he emphasized Nigeria’s importance as India’s premier economic partner in Africa. Dr. Jaishankar declared, "Africa is rising, and India is betting on Africa’s rise."

Aiming at the capture of the African defence market

Following this diplomatic visit, a 33-member Indian defence delegation visited Abuja in March 2024 to explore business opportunities. The delegation, led by Anurag Bajpai, Additional Secretary in the Ministry of Defence, included leading defence PSUs and private companies such as HAL, Bharat Electronics Ltd, and L&T.

Will India export LCA Tejas to Nigeria?

India is in talks with Nigeria regarding the export of its Light Combat Aircraft (LCA) Tejas. Hindustan Aeronautics Ltd’s Chairman and Managing Director, C.B. Ananthakrishnan, confirmed ongoing discussions. Nigeria, dissatisfied with its current fleet of JF-17 Thunder jets, is exploring alternatives, including the Tejas fighter jet.

Helicopter deal with Türkiye

Despite Nigeria's initial interest in Indian-built helicopters, it opted to acquire T129 ATAK helicopters from Türkiye in November 2023 to combat Boko Haram militants. Nigeria had previously considered Indian options like the LCA Tejas and Light Combat Helicopter (LCH) ‘Prachand’.

A billion-dollar defence deal

In September 2023, India signed a $1 billion defence deal with Nigeria. This agreement aims to make Nigeria’s Defence Industries Corporation 40% self-sufficient by 2027, with substantial Indian investment and expertise.

Local currency system in agreement

In May 2024, India and Nigeria agreed on a local currency settlement system to boost bilateral trade and investments in sectors like crude oil, pharmaceuticals, and agriculture.

India’s to enter Africa’s arms market

India's efforts to penetrate the African defence market come amid Russia’s conflict in Ukraine and China’s global credibility issues. However, despite these favorable conditions, India’s weapons have yet to make a significant impact. The competition in Africa’s defence market is intensifying, and only time will tell if India’s ambitious plans will pay off.