• Commercial counsellor Edith Predorf says Big Four pillars are still relevant, as the sectors are key to improving people’s lives.
• There have been concerns that the economic effects of the pandemic have forced governments to reorganise budget allocations as they redirect resources to Covid-19
Austria will continue to support projects within the Big Four agenda despite Covid-19 pandemic shocks to the economy, Austria’s commercial counsellor has said.
In an interview with the Star, Edith Predorf said the Big Four agenda - with its pillars healthcare, manufacturing, food security and affordable housing — is still relevant, as the sectors are key to improving people’s lives.
There have been concerns that the economic effects of the pandemic have forced governments to reorganise budget allocations as they redirect resources to Covid-19 response. The political environment in Kenya has also changed as the government priority is now on the Building Bridges Initiative process.
Predorf said Austrian companies operate on a high technological level and have successfully implemented various projects in Kenya. She sited the upgrade of the Mother and Child Unit at the Kenyatta National Hospital, which was partially funded by the Austrian government.
Predorf’s office, Advantage Austria, is working on getting approval for Phase II of the project that started in 2018 and involves supply of medical equipment and training. It seeks to reduce neonatal, child and maternal morbidity and mortality rate through the Austrian firm AME International, which provides world class hospital engineering, medical package and e-Health solutions.
“Despite the impacts of the pandemic, we must not allow ourselves to lose focus of other key areas, which are also important for the well-being of people, e.g. food security and housing,” she said at her office in Nairobi.
Kenya and Austria’s trade volume reached an all-time high in 2019, reaching €50 million (Sh6.6 billion). This, Predorf said, has taken a hit from the pandemic although the exact figures are yet to come out.
To expand business reach in Kenya, Advantage Austria is opting for mutual beneficial partnerships.
In this regard, Austria mission is engaging on national and county government level, among them Laikipia county and the Nairobi Metropolitan Services. Key areas are healthcare and water supply and management as well as firefighting and ambulance vehicles. Austria has interest in the supply of specialised machinery such as fire engines and ambulances. The Austrian firm Rosenbauer is one of the largest manufacturers of fire-service vehicles.
Despite the impacts of the pandemic, we must not allow ourselves to lose focus of other key areas, which are also important for the well-being of people, e.g. food security and housingEdith Predorf
Taking advantage of the construction boom in the country catalysed by the government’s investment in the expansion of the road and rail networks and port facilities, Neulandt is establishing in Kenya.
According to the World Bank, Kenya faces a housing deficit of more than two million housing units, of which the government targeted to build one million units every year, a target yet to be attained.
A mobile precast concrete plant, which Neulandt specialises in, is among the new technologies that developers are using for low-cost housing,
Predorf said the resilience of the region has also offered Austria a good environment to expand.
“We are seeing people doing everything they can to keep going. This environment provides a chance to build something and grow, probably because customers here are more open to building solutions together. This helps to develop a successful model and grow even in other markets,” she said.
Austria is also seeing more opportunities in innovation in cutting-edge spaces.
“Austrian companies are known as “surprisingly ingenious” as they supply innovative components that enhance convenience, save on cost and time. We have these companies mostly in the EU and US and there is need to expand to Africa to build capacity in technology,” Predorf said.
“It is for this that we say success is meant to be shared”.
Austria’s International Affairs ministry cites rapid urbanisation, digitalisation and necessary investments in infrastructure for the transition to a decarbonized economy (renewable energies, environmental and climate technologies) and the young dynamic population of Africa as potential areas for Austrian investments.
Among the countries the mission in Kenya is engaging with in these areas are Tanzania, Ethiopia and Rwanda, although the activities are limited commercial counsellor the situation in the former presents challenges to business.
Advantage Austria hosted a high-level construction business delegation in Kenya between February 26-28, 2020 in which 13 visiting and 100 local companies participated.
The delegation under the banner ‘World Class Partners’ also met Treasury CS Ukur Yatani on February 27, 2020.