UAE and Kenya Conclude Comprehensive Economic Partnership Agreement
Abu Dhabi, The Gulf Observer: The United Arab Emirates (UAE) and Kenya have successfully concluded negotiations on a Comprehensive Economic Partnership Agreement (CEPA), signaling a new era of trade relations that is set to strengthen East and West supply chains, encourage investment in key sectors, and facilitate enhanced market access for businesses on both sides.
The CEPA is poised to have a significant positive impact on accelerating investment flows, particularly in high-potential areas such as logistics, healthcare, travel and tourism, infrastructure, and information and communication technology (ICT). Additionally, it will provide a platform for Small and Medium-sized Enterprises (SMEs) to foster cooperation and expansion.
Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, emphasized the historic significance of the UAE-Kenya CEPA, stating, “It is a testament to our commitment to strengthening economic ties with the African continent and creating new opportunities for businesses and investors in both of our countries.”
The agreement is expected to boost trade and investment while fostering innovation and sustainable growth in critical sectors such as agriculture, technology, and tourism. Dr. Al Zeyoudi expressed anticipation for deepening the relationship with Kenya and expanding the UAE’s presence in Africa as a trusted partner and investor.
Rebecca Miano, Kenya’s Cabinet Secretary for Investments, Trade and Industry, highlighted the importance of trade in Kenya’s economic growth strategy. She stated, “The Comprehensive Economic Partnership Agreement with the UAE will play a key role in these efforts, enabling our exports to reach important markets in Asia and the Middle East, and also in stimulating the investment inflows that will further develop our national capabilities. We look forward to its implementation and the mutual benefits it will deliver.”
Kenya’s economy, recognized as one of the most promising in Africa, has experienced robust growth. With real GDP projected to grow between 4.5% and 5.2% in 2024, sectors such as services (accounting for 53.6% of GDP) and agriculture (comprising around a quarter of national GDP) offer significant potential for UAE businesses seeking expansion opportunities.
Foreign trade remains a cornerstone of the UAE’s economic agenda, with non-oil trade in goods reaching an all-time high of $710 billion in 2023, marking a 12.6% increase over 2022 and a 34.7% surge compared to 2021. The CEPA is expected to further strengthen ties between the UAE and Kenya, creating a mutually beneficial environment for economic cooperation and growth.
