Content area
Full text
Bi-lateral relations between Federal Republic Nigeria and Republic of Indonesia is traced back to 1965, when Indonesia opened its first diplomatic mission in Sub Saharan Africa in Lagos, Nigeria. Nigeria reciprocated in 1976 by opening a diplomatic mission in Jakarta. Since then Nigeria-Indonesia have enjoyed fruitful diplomatic and economic relations. The aim of this paper is to investigate the volume of bilateral economic agreements and trade between both countries. The paper utilizes secondary sources of data. The research finding shows that both countries have enjoyed fruitful bilateral economic relations. In 2001, both countries signed Economic and Technical Cooperation agreement for establishing a Joint commission, with the aim of promoting relations in five areas of mutual interest which are, economy, trade, investment and technical cooperation. Since 2014, Nigeria has been Indonesia's largest trade partner in Africa, with a total trade volume standing at USD 3.9 million. Also, notable is Indonesia's companies in Nigeria includes Sayap Mas Utama, Indorama, Kalbe Farma and Dufil (Indomine) which is the largest producers of noodles in the country. This study shows that Indonesia has significantly invested in industrialization via the non-oil sector. The study thereby concludes that Nigeria can learn from Indonesia by improving its drive for non-oil export towards facilitating economic development.
Keyword: Economic Relations, Development, Trade, Indonesia, Nigeria.
Introduction
The discussion on foreign economic relations places emphasis on understanding the importance of foreign direct investments or foreign capitals for nation states and expansion of trade between states in the international system (Simons & Zachary, 2004; Milner & Keiko, 2005; Krugman & Obstfeld, 2006; Balaam & Dillman. 2010; Oatley, 2010; V. Jeníček, 2009; Grančay et al., 2014). In the study of international relations, foreign economic relations is understood as important in forging relations between nations states in the international system and to ensure that states experience economic growth and development to enable them to be active participants in global economy (Folarin, Ibietan, Chidozie, 2016; Bello, Othman, Shariffudin, 2017).
In a global and increasingly interconnected world, developing countries have devised a means to survive in this continuous challenging world, usually achieved through multilateral cooperations. This relation between these countries birthed cross-border trades relations between two or more countries, these are usually done to improve economic development and growth of both...