At the India–Africa Dialogue & Networking Gala, organised by ASSOCHAM at the Embassy of Ethiopia in India, on 4th May 2026, Mr. Subhash C. Aggarwal, Chairman & Managing Director, SMC Group; Senior Member, Managing Committee, ASSOCHAM, placed the spotlight firmly on financial connectivity as a critical enabler of the next phase of India–Africa engagement.
Describing the partnership as a convergence of opportunity and capability, he noted that both regions are uniquely positioned to complement each other’s growth trajectories. “India and Africa stand as a powerful intersection of opportunity,” he remarked, setting the tone for a discussion centred on finance as a strategic pillar of cooperation.
A Convergence of Strengths
Africa continues to be one of the world’s fastest-growing regions, driven by a young population, expanding markets, and increasing demand for infrastructure and financing. India, in contrast, brings deep expertise in financial innovation, capital markets, fintech, and inclusive growth models.
“From the perspective of the financial services sector, this is an area that will play a defining role in taking India–Africa economic engagement to the next stage,” Mr. Aggarwal emphasised.
At the heart of his address was a fundamental question: how can capital be effectively connected to opportunity across geographies? “The question before us is: how do we connect capital to opportunity efficiently, transparently, and at scale?” he asked.
Building Stronger Financial Bridges
Mr. Aggarwal emphasised the need to build stronger financial linkages between India and Africa. India’s capital markets, among the most robust and technology-driven in the emerging world, offer significant potential for cross-border collaboration.
“There is a strong opportunity to facilitate cross-border listings and investments, encouraging African companies to access Indian capital markets, while also promoting joint investment platforms and funds,” he noted.
At the same time, Indian investments can play a more prominent role in Africa’s growth story through structured financial instruments and long-term capital deployment. This includes innovative financing mechanisms tailored to emerging market needs.
Driving Inclusion Through Financial Innovation
A key strength of India’s financial ecosystem has been its ability to leverage digital infrastructure to expand inclusion. From fintech platforms to digital credit systems, India has demonstrated how technology can transform access to finance.
“Solutions such as digital financial infrastructure, fintech platforms, and credit-scoring innovations can be adapted across African markets to extend access to finance and support MSMEs,” he said.
This approach, he suggested, could significantly enhance financial inclusion while also improving efficiency and transparency in lending systems.
Addressing Trade Finance Gaps
Despite growing trade volumes between India and Africa, access to affordable trade finance remains a persistent challenge, particularly for Micro, Small and Medium Enterprises.
“We must focus on expanding trade finance facilities, strengthening credit guarantee mechanisms, and enhancing risk assessment frameworks,” Mr. Aggarwal stressed. Improving access to finance for MSMEs, he noted, will be critical in unlocking the full potential of bilateral trade and ensuring that smaller enterprises are not left behind.
Financing Infrastructure and Growth
Africa’s infrastructure ambitions require large-scale, innovative financing solutions. Mr. Aggarwal highlighted the role India’s financial sector can play through structured project financing, public-private partnerships, and blended finance models.
“India’s financial sector can contribute through structured project financing and innovative partnership models that support sustainable development,” he said.
Such collaboration can accelerate infrastructure development while ensuring financial sustainability and risk-sharing.
Placing Finance at the Core of Partnership
As India and Africa look ahead to deeper engagement, particularly in the context of the anticipated 4th India-Africa Forum Summit, Mr. Aggarwal called for financial services to be placed at the centre of the partnership framework.
“Trade creates opportunity, investment creates growth, but financial connectivity makes both possible,” he stated in a succinct summation of his argument.
He further emphasised the role of the private sector, particularly financial institutions, in translating intent into tangible outcomes. “The private sector must step forward to build platforms, products, and partnerships that translate intent into investment,” he said.
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