The first round of the Strategic Trade and Investment Partnership (STIP), which will serve as the foundation for upcoming bilateral negotiations, has been completed between Kenya and the United States.
The five days of negotiations for the free trade agreement are expected to produce results, according to the delegation from Kenya, led by Trade Principal Secretary Alfred K’Ombudo.
Kenya, much like Tanzania, has placed a heavy emphasis on Foreign Direct Investment. Currently, Kenya stands as one of the most attractive markets in Africa, with its willingness to adopt new tech trends, its willingness to initiate new initiatives, and the country’s willingness to explore the viability of different sectors.
“During the meetings. the two sides exchanged views on the key concepts to be addressed on almost all of the areas outlined in the 141h July, 2022 joint statement announcing the initiative,’ a statement from the ministry reads in part.
The Partnership aims to boost investment, enhance regional economic integration in Africa, and advance sustainable and inclusive economic growth for the benefit of workers, consumers, and businesses (including micro, small, and medium-sized firms).
In July 2020, while former presidents Donald Trump and Uhuru Kenyatta were in office, negotiations between Kenya and the US commenced.
Before starting a new round of talks after the US elections in November 2020, Joe Biden’s administration took some time to review a portion of the agreement.
The delegations named a number of first subjects on which Kenya and the US share the desire to negotiate high-standard commitments in order to produce economically significant results in a joint statement issued following the conference.
Agriculture, anti-corruption, digital trade, environment and climate action, sound regulatory practices, micro, small, and medium-sized firms, defending worker’s rights and protections, and domestic regulation of services are some of the first areas identified.
The collaboration will also help women, young people, and others participate in commerce, standard-setting, trade facilitation, and customs procedures.
Kenya wants to enter a bilateral agreement to gain access to at least 5% of the US market, which has the potential to bring in more than Sh2 trillion in export profits every year.
Published on: Business Insider Africa
Publication date: 13/02/23