India and Namibia have jointly called for the expedited conclusion of the Preferential Trade Agreement (PTA) between India and South African Customs Union (SACU). This was among the top outcomes of PM Narendra Modi’s state visit to Namibia—the first by an Indian Prime Minister in nearly three decades.
The move signals renewed momentum behind the long-pending negotiations between India and SACU, comprising Namibia, South Africa, Botswana, Lesotho and Eswatini. Five rounds of negotiations were held between 2007 and 2010, but talks had stalled until recent efforts revived discussions.
“The growth in our bilateral trade is encouraging but the full potential is yet to be realised,” Prime Minister Modi told Namibia’s Parliament. “The India–SACU PTA can be a transformative platform for regional trade, investment and value chain integration.”
Currently, bilateral trade between India and Namibia stands at approximately $600 million, while India’s investments in the country exceed $800 million. With SACU, trade is heavily skewed toward South Africa—accounting for over 95%—but Namibia’s resource wealth and strategic location are attracting increasing attention.
Expanding Economic And Strategic Agenda
At a special press briefing, Dammu Ravi, Secretary (Economic Relations), Ministry of External Affairs, stressed that PM Modi’s visit was not only historic in its symbolism but also substantial in outcomes.
“This visit has opened doors to significantly deepen our partnership with Namibia and the wider SACU region. Our cooperation spans trade, natural resources, digital payments, health, defence and sustainable development,” he said.
He noted that India is looking to partner with Namibia in sectors such as pharmaceuticals, agriculture, MSMEs, green technology and critical minerals, including lithium, cobalt and graphite.
Namibia First Country To Adopt UPI
Namibia has become the first country to sign a licencing agreement to adopt India’s Unified Payments Interface (UPI). The pact, between the National Payments Corporation of India (NPCI) and the Bank of Namibia, is expected to revolutionise real-time digital transactions in the country and potentially serve as a model across Africa.
“This is a major breakthrough in digital public infrastructure collaboration,” said Ravi. “It showcases how India’s scalable fintech platforms can serve as global public goods.”
Capacity Building And Development Partnerships
India reiterated its commitment to building human capital in Namibia through the ITEC scholarship program, widely utilised by Namibian professionals across civil and defence sectors. PM Modi also offered support for Quick Impact Projects in agriculture, IT, cybersecurity, healthcare, women’s empowerment and education.
Two memorandums of understanding were signed during the visit. One on establishing an Entrepreneurship Development Centre in Namibia and another on Cooperation in Health and Medicine, including direct pharmaceutical sourcing and potential introduction of India’s Janaushadhi scheme to increase access to affordable medicine.
India also offered expertise in using drones for precision farming, aimed at enhancing Namibia’s agricultural productivity and food security.
Namibia Joins India-led Global Alliances
In a show of alignment with India’s multilateral initiatives, Namibia formally joined two key international platforms: The Coalition for Disaster Resilient Infrastructure (CDRI) and The Global Biofuels Alliance.
These steps highlight Namibia’s commitment to climate resilience and green energy transitions, aligning with India’s global leadership in sustainability.
Defence Cooperation And Natural Resources
Defence cooperation was another key focus area, with discussions on capacity building, training exchanges and defence production partnerships. India’s strategic interest in Namibia’s natural resources—particularly for clean energy technologies—was also a core part of the dialogue.
‘Freedom To Future’: Vision For Global South
Addressing Namibia’s Parliament, PM Modi outlined India’s vision for equitable global development. “Let us create a future defined not by power but by partnership; not by dominance but by dialogue; not by exclusion but by equity.”
He reaffirmed India’s continued support to Africa during and beyond its G20 Presidency, including its role in ensuring permanent African Union membership in the G20.
“India remains committed to Africa’s Agenda 2063—building capacity, promoting innovation, and sharing developmental experiences,” he added.
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