Bilateral trade between India and Nigeria has surged to approximately $9 billion for the fiscal year 2025–26, reflecting a 26% increase from the $7.13 billion recorded in 2024–25. This growth indicates a significant deepening of economic ties between the two nations, moving beyond traditional sectors such as oil and commodities into diverse areas including manufacturing, healthcare, energy, and technology.

The Indian High Commissioner to Nigeria, Abishek Singh, highlighted that over 200 Indian companies are now operational in Nigeria, contributing to the creation of nearly 100,000 jobs. This makes Indian businesses the second-largest employers in the country, following the Federal Government. The shift in focus from an export-driven relationship to one that emphasizes local production is evident, as Indian firms increasingly set up manufacturing facilities across various sectors.

Healthcare has emerged as a particularly promising area of collaboration. According to India's Deputy High Commissioner to Nigeria, Vertika Rawat, Indian pharmaceutical exports to Nigeria reached $315 million in 2024–25. India now accounts for about 40% of Nigeria's pharmaceutical imports, with some categories seeing over 90% reliance on Indian products. Investment in local pharmaceutical manufacturing from India is estimated at around $4 billion, showcasing a commitment to producing essential medicines domestically rather than relying solely on imports.

This trend is expected to bolster skilled employment opportunities, enhance supply chains, and improve Nigeria's domestic production capabilities. The economic relationship between India and Nigeria has a history spanning over six decades and was elevated to a Strategic Partnership in 2007. Political engagement has also strengthened, with notable visits including President Bola Tinubu's attendance at the G20 Summit in India in 2023 and Prime Minister Narendra Modi's visit to Nigeria in November 2024.

In addition to private investments, India has extended development assistance, concessional financing, and technical training through its Indian Technical and Economic Cooperation programme. This expanding partnership not only offers Nigeria access to Indian capital and technology but also provides the expertise necessary to enhance its productive capacity.