Kenya and the United Arab Emirates (UAE) have finalized a Comprehensive Economic Partnership Agreement (CEPA) aimed at boosting trade, investment, and market access across Africa and the Middle East. The agreement was signed in Abu Dhabi after earlier delays.
President William Ruto lauded UAE’s Sheikh Mohamed bin Zayed Al Nahyan for supporting Kenya’s economic aspirations, emphasizing the CEPA’s role in fostering mutual prosperity. The deal focuses on sectors such as energy, agriculture, health, ICT, and infrastructure, aligning with Kenya’s strategy to attract foreign investments and reduce reliance on loans.
Additionally, Kenya is in discussions with the UAE to extend the Standard Gauge Railway (SGR) into Uganda and South Sudan. “We are exploring a partnership agreement with the UAE to extend the railway,” Ruto announced, highlighting plans for a feasibility study to assess the railway’s potential for enhancing regional integration.
Non-oil trade between the two nations reached $3.1 billion in the first nine months of 2024, a 29.1% increase from 2023. Kenya’s economy, which grew by 5.6% in 2023, presents opportunities for UAE investors, particularly in renewable energy, services, and agriculture.
However, the UAE’s expanding influence in Africa has sparked concerns about its regional policies. While fostering economic growth in some areas, the UAE has been accused of supporting groups in countries like Sudan, contributing to humanitarian crises. Such actions raise questions about balancing influence with responsible engagement.
The CEPA and potential railway expansion underscore a deepening partnership between Kenya and the UAE, with both nations focusing on long-term development and regional integration.