India and Ghana Relations | 03 Jul 2025

For Prelims: Unified Payments Interface, Indian Technical and Economic Cooperation (ITEC) programme, Digital Public Infrastructure, e-VidyaBharati and e-AarogyaBharati (e-VBAB)  

For Mains:  Role of India in promoting South–South Cooperation, India–Africa Relations 

Source:PIB 

Why in News?

Prime Minister Narendra Modi's state visit to Ghana, the first by an Indian PM in over 30 years, marked a historic milestone in India-Africa relations. 

  • During the visit the PM Narendra Modi was conferred with the country’s highest civilian honour - The Officer of the Order of the Star of Ghana. 

Ghana 

  • Location: Ghana (capital Accra) is a West African country bordered by Côte d’Ivoire to the west, Burkina Faso to the north, Togo to the east, and the Gulf of Guinea and the Atlantic Ocean to the south. 
  • Significance: Ghana, the first Black African country south of the Sahara to gain independence in 1957, was named after the medieval Ghana Empire.  
    • It is known for its vast gold resources, it was called the Gold Coast. Cacao, introduced in the 19th century, remains a key export. 
    • Since the 1990s, Ghana has seen political stability, economic recovery, and is now cited as a model for democratic governance and reform in Africa. 
  • Mountains and Lakes: Mount Afadjato, Mount Djebobo, and Mount Torogbani are all located east of the Volta River in Ghana, near the border with Togo.  These mountains are part of the Togo-Atakora mountain range. 
    • Lake Volta is one of the largest artificial lakes in the world. 

What are the Key Outcomes of the PM's State Visit to Ghana? 

  • Bilateral Cooperation:  The two countries agreed to elevate the relationship to a Comprehensive Partnership. 
  • Strategic Offers: India offered to share its digital public infrastructure experiences, including the Unified Payments Interface (UPI). 
  • Memorandums of Understanding (MoUs) Signed: 
    • MoU on Cultural Exchange Programme (CEP): To promote greater cultural understanding and exchanges in art, music, dance, literature, and heritage. 
    • MoU between Bureau of Indian Standards (BIS) and Ghana Standards Authority (GSA): Aimed at enhancing cooperation in standardisation, certification, and conformity assessment. 
    • MoU between the Institute of Traditional & Alternative Medicine (ITAM), Ghana and the Institute of Teaching & Research in Ayurveda (ITRA), India: To collaborate in traditional medicine education, training, and research. 
    • MoU on Joint Commission Meeting: To institutionalise high-level dialogue and review bilateral cooperation mechanisms on a regular basis. 

How India and Ghana Relations Evolved Over Time? 

  • Early Diplomatic Ties: India opened a representative office in Accra in 1953 and established full diplomatic relations in 1957, the same year Ghana gained independence. 
  • Shared Global Platforms: India and Ghana are founding members of the Non-Aligned Movement and have consistently aligned on global issues such as decolonisation and South-South cooperation. 
  • Institutional Mechanisms: 
    • India–Ghana Joint Commission (1995) facilitates regular high-level dialogue. 
    • Joint Trade Committee and Foreign Office Consultations strengthen trade and diplomatic coordination. 
  • Economic Relations: India is a key trading partner for Ghana, with bilateral trade crossing  USD 3 billion in 2024-25.  
    • Ghana exports gold, cocoa, and cashew nuts to India, while India exports pharmaceuticals, agricultural machinery, and textiles.   
      • The trade balance is typically in favor of Ghana, driven primarily by gold exports (70% of total imports). 
    • Indian pharmaceuticals play a crucial role in supporting Ghana’s healthcare system, and Indian companies have invested nearly USD 2 billion in about 900 projects across Ghana. 
  • Development Projects and Financial Assistance: India has extended over USD 450 million in concessional lines of credit (LoCs) and grants to Ghana supporting projects in rural electrification, sugar and fish processing. 
    • India supported the Tema–Mpakadan railway project, including a 300-metre bridge over the Volta River, as part of the Ghana–Burkina Faso connectivity corridor, boosting Ghana’s infrastructure, connectivity, and trade. 
  • Digital Collaboration: Ghana–India Kofi Annan Centre of Excellence in ICT (2003) is West Africa’s top IT research and education hub. 
  • Indian Community:  The Indian community in Ghana, over 15,000 strong, is served by a Hindu temple, Gurudwara, and a Hindu monastery. ISKCON (mostly run by Ghanaians) and cultural centres actively promote Indian traditions. 

    • Prime Minister Narendra Modi was welcomed with the chant “Hare Rama Hare Krishna,” showcasing the deep cultural connection between the two nations and India’s rising soft power.

  • India-Africa Relations 

    • Economic Relations: As of February 2025, India is Africa’s 4th largest trading partner, with USD 100 billion in bilateral trade. 
      • Indian investments in Africa have reached USD 75 billion, with a target to double by 2030. 
    • Development and Capacity Building: India has extended over USD 12 billion in concessional credit for over 200 projects in infrastructure, energy, and agriculture. 
      • Initiatives like ITEC, Pan-African e-Network, e-VBAB foster human capital development. 
    • Amplifying Africa's Voice: During India’s G20 presidency, India strongly advocated for the African Union’s permanent membership. 
    • Strategic and Maritime Security Ties: Africa’s location in the Indian Ocean region is critical for India’s maritime security and sea lanes. 
      • India’s first overseas naval base in Mauritius (2024), and India-Africa Army Chiefs Conclave (2023) reflect growing defence cooperation. 
    • Energy and Critical Minerals Security: Africa supplies vital crude oil (e.g., Nigeria, Angola) and critical minerals like cobalt and manganese, key for India’s clean energy transition. 
    • Cultural & Historical Foundations: Strong ties through the Indian diaspora, shared colonial histories, and mutual inspiration from freedom movements (e.g., Gandhi–Mandela). 
    • Technology and Innovation Collaboration: India is partnering in Africa’s digital transformation, smart cities, and fintech through Indian IT and startups. 
    • India-Japan-Africa Trilateral Engagement: Through the Asia-Africa Growth Corridor (AAGC), India leverages Japan’s capital, India’s tech, and Africa’s youth for inclusive growth.

Drishti Mains Question:

India is not just a partner but a co-traveller in Ghana's nation-building journey. In light of this statement, assess the comprehensive nature of India–Ghana relations.
Read more: Evolving India-Africa Partnership 

  • UPSC Civil Services Examination, Previous Year Questions (PYQs) 

    Mains

    Q. ‘The long-sustained image of India as a leader of the oppressed and marginalised nations has disappeared on account of its new found role in the emerging global order.’ Elaborate. (2019)