Novel Delhi – India and Brazil are deepening their economic partnership, signing agreements focused on trade, investment, and critical minerals during Brazilian President Luiz Inácio Lula da Silva’s state visit to India, which concluded February 22, 2026. The visit, which began February 18, underscored a commitment to strengthening ties between the two nations, particularly in the face of evolving global dynamics and a desire to reduce reliance on the U.S. Dollar in international transactions.
President Lula’s trip, his sixth to India, included a bilateral meeting with Prime Minister Narendra Modi on February 21, where they discussed a wide range of issues, from regional security to global governance. The leaders also addressed the potential for increased cooperation within multilateral forums and the need for reformed multilateralism, with a particular focus on the interests of the Global South. This visit follows Prime Minister Modi’s state visit to Brazil in July 2025, the first by an Indian prime minister in 57 years, signaling a renewed emphasis on the Brazil-India relationship.
Expanding Trade and Investment
A key focus of the discussions was boosting bilateral trade, which reached a record high in 2025 but remains below its potential, currently standing at around $15 billion. President Lula emphasized the need to significantly expand trade flows, particularly in critical minerals. Agreements are expected in this sector, marking the first of their kind for Brazil. The visit also saw the participation of a substantial Brazilian business delegation, comprising approximately 260 companies and around 14 ministers, attending a Business Forum in New Delhi to foster partnerships and explore investment opportunities.
The Brazilian president advocated for trade between Brazil and India to be conducted in their respective currencies, rather than relying on the U.S. Dollar. This move aligns with a broader global trend among nations seeking to reduce their dependence on the dollar in international trade, aiming for greater financial autonomy and resilience against currency fluctuations. Whereas specific details of the currency exchange agreements were not immediately available, the intention signals a strategic shift towards de-dollarization in bilateral commerce.
Cooperation on Artificial Intelligence and Technology
President Lula’s visit coincided with the India AI Impact Summit, held in Delhi on February 19 and 20, where he participated in discussions surrounding the ethical development and deployment of artificial intelligence. Lula cautioned against “digital colonialism,” emphasizing that AI should not become the exclusive domain of a few nations or billionaires. This stance reflects concerns about equitable access to AI technologies and the potential for exacerbating existing inequalities.
The two leaders also discussed broader cooperation in technology, recognizing the importance of innovation and digital transformation for economic growth. India’s rapidly growing digital economy and Brazil’s advancements in areas like agricultural technology present complementary opportunities for collaboration. The discussions likely included potential joint ventures in areas such as fintech, cybersecurity, and renewable energy technologies.
Strategic Alignment and Global Governance
Beyond economic ties, the meeting between Modi and Lula addressed critical regional and global issues. Both leaders expressed their commitment to strengthening cooperation in multilateral forums and advocating for a reformed multilateral system that better reflects the needs and priorities of the Global South. They also discussed issues of mutual interest, including global governance and regional security challenges.
India and Brazil share a common perspective on the need for greater representation of developing countries in international institutions like the United Nations Security Council. Both nations have long advocated for reforms to make these institutions more inclusive and responsive to the challenges facing the majority of the world’s population. This shared vision provides a strong foundation for collaboration on global governance issues.
The Apex Brazil Office in New Delhi
On February 21, President Lula inaugurated the first office of the Brazilian Trade and Investment Promotion Agency (Apex) in New Delhi.
Inauguramos hoje, em Nova Délhi, o primeiro escritório da Agência Brasileira de Promoção de Exportações e Investimentos (Apex) na capital indiana. Esta agência atua para promover os produtos e serviços brasileiros no exterior e atrair investimentos estrangeiros para setores… pic.twitter.com/yB8P8zb8sy
— Press Trust of India (@PTI_News) February 21, 2026
Apex will play a crucial role in promoting Brazilian goods and services in the Indian market and attracting foreign investment into key sectors of the Brazilian economy. This move is expected to further facilitate trade and investment flows between the two countries.
Looking Ahead
The state visit by President Lula has solidified the growing strategic partnership between India and Brazil. The agreements reached during the visit, particularly in the areas of trade, investment, and critical minerals, are expected to yield significant economic benefits for both nations. The commitment to exploring alternative currency arrangements for trade transactions signals a broader shift towards greater financial independence and a more multipolar global economic order.
The next key development to watch will be the implementation of the agreements reached during the visit, including the specific details of the critical minerals deals and the progress towards establishing currency exchange mechanisms. Further announcements regarding joint projects and initiatives in technology and other sectors are also anticipated in the coming months. The continued dialogue between India and Brazil on global governance issues will be crucial in shaping a more equitable and sustainable international system.
What are your thoughts on the strengthening ties between India and Brazil? Share your comments below and let us know how you think this partnership will impact the global landscape.