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Kenya and UAE Forge Comprehensive Economic Partnership for Transformative Growth

On January 14, 2025, Kenya and the United Arab Emirates (UAE) signed a landmark Comprehensive Economic Partnership Agreement (CEPA), witnessed by President William Ruto and His Highness Sheikh Mohamed bin Zayed Al Nahyan. This historic agreement, the first of its kind between the UAE and a mainland African country, marks a transformative step in economic relations.

Enhancing Trade and Investment
The CEPA aims to eliminate trade barriers, simplify customs procedures, and promote industrialization, reinforcing Kenya’s position as a gateway to East and Southern Africa. In 2023, trade between the two nations reached Ksh. 445 billion, with the UAE being Kenya’s sixth-largest export destination and second-largest source of imports. Kenya’s key exports include meat, fruits, vegetables, and flowers, which collectively support millions of livelihoods.

In exchange, the UAE provides Kenya with essential imports, including petroleum, machinery, and chemicals. The CEPA aims to strengthen these trade relationships further while fostering regional value chains and attracting increased foreign direct investment (FDI).

Broadening Opportunities
The agreement goes beyond trade in goods, addressing services, technology, digital trade, and sustainability. It opens the UAE market to Kenyan service providers in sectors like education, construction, and engineering while promoting clean technologies and sustainable practices.

Aligned with Kenya’s Bottom-Up Economic Transformation Agenda (BETA), the CEPA is expected to unlock new markets for priority value chains and drive economic progress through technology transfer, innovation, and investment.

A Global Gateway
The CEPA builds on Kenya’s existing trade strategy, including agreements with the EU, UK, AfCFTA, and AGOA. It positions Kenya as a global trade partner with duty-free, quota-free access to nearly half of the world’s GDP.

The CEPA represents a milestone in Kenya-UAE relations, unlocking economic opportunities and fostering long-term collaboration. This partnership underscores Kenya’s strategic position as a gateway to East Africa and reflects shared goals of mutual prosperity.

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