Kenya and the European Union have inked an Economic Partnership Agreement (EPA), a pivotal move to amplify bilateral trade and investments. This agreement, sealed in Nairobi, promises to strengthen trade connections between the African and European continents, aligning with broader EU-Africa relationship goals and the global green transition.
European Commission President Ursula von der Leyen highlighted the EPA’s immediate benefits. This deal opens the European market to Kenyan products, offering tariff-free and quota-free access upon its activation. The agreement is unique, embedding robust commitments to social and climate issues, making it the most significant EU trade deal with an African country in these areas.
The EPA aims to create jobs and foster cooperation, enhancing Kenya’s economic development. This pact stands out for its focus on sustainability, with provisions for climate and environmental protection, labor rights, and gender equality.
Trade statistics position the EU as Kenya’s top export destination and a major trading partner. The bilateral trade between the EU and Kenya reached 3.3 billion euros in 2022, marking a 27 percent increase since 2018.
Kenyan President William Ruto sees this as a chance for Kenyan exporters to plan for the future with reliable access to a lucrative export market. He envisions a rich and varied trade and investment exchange, starting a historic transformation.
The EPA is set to attract EU investment in Kenya, assuring legal certainty and stability. Von der Leyen has extended an invitation to other East African Community states, such as Tanzania, Uganda, Burundi, Rwanda, South Sudan, Somalia, and the DRC, to join the EPA. This positions Kenya as a leader in the region.
Reflecting the EU’s novel approach to trade and sustainable development with developing countries, the agreement acknowledges Kenya’s developmental needs. It allows a gradual opening of its market and includes safeguards for agriculture, food security, and nascent industries. This strategy marks a significant step in promoting sustainable and equitable global trade.
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