Monrovia – The India–European Free Trade Association (EFTA) Trade and Economic Partnership Agreement (TEPA) officially came into effect on October 1, 2025, marking a historic milestone in India’s global trade and investment landscape.
By Patience M. Jones
Signed in New Delhi on March 10, 2024, the TEPA links India with four advanced European economies – Switzerland, Norway, Iceland, and Liechtenstein – under a comprehensive framework encompassing trade, investment, services, and sustainable development.
As the world’s fastest-growing large economy, India is poised to become the third-largest global economy, while the EFTA States are recognized leaders in trade, technology, and innovation. Together, the two sides represent a combined GDP of approximately USD 5.4 trillion, signaling vast potential for enhanced economic collaboration.
A key highlight of TEPA is its inclusion of a binding commitment on investment and employment generation, a first for any Free Trade Agreement (FTA) signed by India.
Under the agreement, EFTA member states have pledged to boost Foreign Direct Investment (FDI) in India by USD 50 billion within the first ten years of implementation, followed by an additional USD 50 billion in the subsequent five years. This is expected to create over one million direct jobs in India across diverse sectors
The agreement aims to strengthen long-term trade relations through resilient supply chains, increased investment flows, job creation, and sustainable growth. It simplifies customs procedures and enhances market access, facilitating smoother business operations between India and EFTA economies.
In line with India’s vision of Atmanirbhar Bharat (Self-Reliant India) and the goal of achieving Viksit Bharat (Developed India) by 2047, TEPA emphasizes sustainable and inclusive growth. It also promotes cooperation in technology transfer, renewable energy, skill development, precision engineering, and research and innovation.
To further promote investment, a dedicated India–EFTA Investment Facilitation Desk has been established to assist enterprises and strengthen business partnerships.
Ambassador Verma noted that TEPA not only reflects India’s commitment to building equitable and mutually beneficial trade relationships but also paves the way for greater collaboration with friendly nations such as Liberia.
With annual bilateral trade between India and Liberia currently around USD 400 million, the agreement opens new opportunities for Liberia to expand exports and source essential goods from India in the years ahead.
The India–EFTA TEPA stands as a progressive and balanced agreement aimed at fostering economic growth, innovation, job creation and shared prosperity across the continents.
Support Independent Journalism
Your support helps FrontPage Africa continue delivering independent, credible, and impactful journalism. Every contribution strengthens our ability to investigate, inform, and hold power accountable while keeping quality journalism accessible to our readers.
Support our journalism or subscribe to receive the latest FrontPage Africa stories and updates.
