Musalia Mudavadi: Kenya keen on strengthening trade ties with UAE! Prime Cabinet Secretary Musalia Mudavadi has reiterated Kenya’s commitment to deepening trade and investment relations with the United Arab Emirates (UAE).
Speaking during the UAE’s 53rd National Day celebrations held in Nairobi, Mudavadi emphasized the mutual benefits of the Kenya-UAE partnership and its potential for future growth.
“Kenya is committed to advancing this partnership with the UAE towards a future defined by shared goals and deeper cooperation for the prosperity of our two peoples,” Mudavadi said during the event.
Growing Diaspora Ties
Mudavadi noted that the Kenyan diaspora in the UAE has significantly expanded, with over 30,000 Kenyans living and working in the Gulf nation. This growth follows the signing of a Memorandum of Understanding in 2018, aimed at fostering labour relations between the two countries.
“These Kenyans make a significant contribution to our country’s development through diaspora remittances and knowledge transfer while also meeting the labour demands in the UAE and Middle East,” he said.
Strong Trade Relations
Kenya’s relationship with the UAE is anchored in robust trade and investment cooperation. Mudavadi highlighted that the UAE ranks as Kenya’s sixth-largest trading partner, reflecting the growing economic ties between the two nations.
Trade between Kenya and the UAE surged from KSh142.5 billion in 2013 to KSh460 billion in 2023. Kenya’s exports to the UAE include tea, goat and sheep meat, fruits, vegetables, and cut flowers, while its imports include petroleum products, polymers, and telecommunications equipment.
Comprehensive Economic Partnership Agreement
Mudavadi underscored the significance of the ongoing negotiations for the Kenya-UAE Comprehensive Economic Partnership Agreement (UAEK-CEPA). Once finalized, the agreement is expected to enhance trade, investment, and economic activities, particularly in sectors prioritized under Kenya’s Bottom-Up Economic Transformation Agenda.
“As we deepen these negotiations, we appreciate plans for the resumption of Etihad Airways flights later this year,” Mudavadi added, pointing to the agreement’s potential to improve connectivity and facilitate trade.
A Historic Partnership
The Prime Cabinet Secretary reflected on the 60 years of Kenya’s diplomatic relations, which began in June 1982. Over the decades, the partnership has grown into a vibrant political, economic, and social relationship.
“Together, we have signed numerous agreements and cooperation frameworks that have fostered stronger economic and commercial ties, reinforcing our shared commitment to progress and development,” he said.
Collaboration on Green Energy
Mudavadi highlighted Kenya’s alignment with the UAE in promoting renewable energy and sustainability. He praised the UAE’s leadership in climate initiatives, including hosting the International Renewable Energy Agency (IRENA) in Abu Dhabi and collaborating with Kenya on the Accelerated Partnership for Renewables in Africa (APRA).
“We commend the UAE’s leadership in this area, including its collaboration with Kenya during the launch of APRA at the Africa Climate Summit in Nairobi last year,” Mudavadi said.
This collaboration reflects both nations’ commitment to addressing climate change and advancing green investments.
Recent Investor Engagements
Mudavadi also pointed to the productive discussions during the recent investor roadshow in the UAE in October 2024, which included key engagements with the Abu Dhabi Fund for Development. These discussions focused on fostering green investments and strengthening economic ties.
A Promising Future
Kenya and the UAE continue to set a strong example of bilateral cooperation, with shared goals for sustainable development and economic growth. Through initiatives such as the UAEK-CEPA and enhanced collaboration on renewable energy, the partnership is poised to deliver mutual benefits for years to come.
“The UAE’s commitment to sustainability aligns with Kenya’s ambitions to foster green investments,” Mudavadi concluded, expressing optimism for the future of Kenya-UAE relations.
This enduring partnership highlights the potential for further collaboration, particularly in areas like trade, renewable energy, and labour relations, fostering shared prosperity for both nations.