Why South Africa is deepening ties with India as race for AI and investment heats up

South Africa is betting on deeper ties with India to drive economic growth, create jobs, and accelerate its technological ambitions, as both countries expand cooperation in trade, innovation, and emerging industries.

Jun 5, 2026 - 17:07

Why South Africa is deepening ties with India as race for AI and investment heats up

South African President Cyril Ramaphosa (R) welcomes Indian Prime Minister Narendra Modi as he arrives for the opening of the G20 Leaders' Summit at the Nasrec Expo Centre in Johannesburg on November 22, 2025. [Photo by Halden KROG / POOL / AFP via Getty Images]

South Africa is betting on deeper ties with India to drive economic growth, create jobs, and accelerate its technological ambitions, as both countries expand cooperation in trade, innovation, and emerging industries.

South Africa and India have renewed efforts to strengthen their strategic partnership through expanded cooperation in trade, investment, and emerging technologies.
High-level talks in New Delhi focused on economic growth, digital transformation, infrastructure development, and support for small businesses.
Both countries agreed to deepen collaboration in artificial intelligence, advanced manufacturing, renewable energy, and skills development.
The growing partnership reflects broader efforts by Global South nations to build stronger economic and technological alliances amid shifting global dynamics.

The renewed push came during high-level talks in New Delhi between South African Deputy President Paul Mashatile and India’s External Affairs Minister, Subrahmanyam Jaishankar, in what officials described as a significant step toward strengthening one of the Global South’s most important strategic partnerships.

Speaking during the discussions, Mashatile described India as a key partner for South Africa and highlighted the long-standing historical ties between the two nations. He said Pretoria remained committed to advancing the bilateral strategic partnership and ensuring it delivers tangible economic and social benefits.

The talks reflected a growing recognition that strong political relations must increasingly translate into business opportunities, investment flows, and development cooperation. Both sides identified trade, infrastructure development, digital transformation, and support for small and medium-sized enterprises as priority areas for deeper collaboration.

For South Africa, the engagement comes at a time when governments across Africa are seeking new sources of investment, technology transfer, and industrial growth amid global economic uncertainty. India, now one of the world’s fastest-growing major economies, has become an increasingly important partner for many African countries seeking to diversify their trade and development relations.

Beyond commerce, discussions also focused on the technologies expected to shape future economic growth. South Africa and India recently agreed to strengthen cooperation in artificial intelligence, advanced manufacturing, and other emerging technologies, signaling a new phase in scientific and technological engagement.

The agreement followed separate meetings between India’s Minister of State for Science and Technology, Jitendra Singh, and South Africa’s Deputy Minister of Science, Technology, and Innovation, Nomalungelo Gina.

South Africa also expressed interest in expanding cooperation in renewable energy, hydrogen technologies, digital transformation, and skills development—areas viewed as critical to boosting competitiveness and preparing workers for future industries.

The two countries reviewed ongoing collaboration in astronomy and scientific research, with both sides emphasising the importance of stronger institutional partnerships and knowledge exchange.

Mashatile’s visit also included engagements showcasing India’s entrepreneurial ecosystem, innovation initiatives, and support programs for traditional industries and small businesses.

Analysts say the growing partnership reflects a broader shift among Global South nations seeking closer economic and technological cooperation as they navigate changing geopolitical and economic realities.

For South Africa, the challenge now will be to translate diplomatic goodwill into investments, innovation, and jobs that deliver measurable benefits at home.