UAE seek new trade deal with Kenya

business

UAE seek new trade deal with Kenya

Wednesday September 8th 2021

Nairobi skyline. FILE PHOTO | NMG

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BY BRIAN NGUGI
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  • The United Arab Emirates (UAE) plan to sign a comprehensive Economic Partnership Agreement with Kenya to consolidate its position as a gateway for global trade and investment.
  • The UAE announced this week that the deal with Kenya will expand its access to emerging economies alongside six other countries including India, Indonesia, Turkey, the UK, Israel, South Korea and Ethiopia.

The United Arab Emirates (UAE) plan to sign a comprehensive Economic Partnership Agreement with Kenya to consolidate its position as a gateway for global trade and investment.

The UAE announced this week that the deal with Kenya will expand its access to emerging economies alongside six other countries including India, Indonesia, Turkey, the UK, Israel, South Korea and Ethiopia.

“These comprehensive agreements will help us make these markets more accessible. We are talking about 10 percent of world trade and 60 percent of the world’s population in these eight countries, “said Dr Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, in a statement.

“These countries were selected based on a number of criteria, including knowledge economy, domestic consumption, international companies in these countries and their historical relationship with the UAE.”

Kenyan sales agents were not immediately available to comment on the details of the pact.

But Dubai said the Arab emirate, which has successfully pumped oil wealth into sectors from tourism to real estate, wants to double non-oil trade and investment with Kenya.

As the trading and trading center of the Middle East, Dubai has long been considered the gateway of trade between Kenya and the rest of the world.

But the relationship between the two countries is marked by an enormous trade imbalance in favor of the UAE.

Dubai’s business leaders previously told Business Daily that Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of the United Arab Emirates and ruler of Dubai, has called Kenya – the largest economy in East Africa – “one of the most promising business partners for Dubai” in the coming years Years.

“We are looking for a win-win partnership with Kenya,” said Hamad Buamim, President and CEO of the Dubai Chamber in 2019. “We believe that Dubai offers the key to unlocking Kenya’s economic potential.”

Kenya is also pursuing a new bilateral trade deal with the UK after Brexit. She hopes that a new agreement will cushion her from possible hits after partner states of the EAC have not concluded an economic partnership agreement with the EU.

Independently of this, Kenya is hoping to conclude a free trade agreement with the USA.

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