Kenya has received a boost towards economic rebound through improved export trade following a Sh3.3 billion funding by the European Union.
The deal was signed on the sidelines of the two-day EU-Kenya Business Forum taking place in Nairobi overseen by Kenya’s Cabinet Secretary for Investments, Trade and Industry Moses Kuria.
Funding will be channeled through TradeMark Africa, formerly TradeMark East Africa, to facilitate a five-year programme aimed at boosting the country's exports and supporting creation of a conducive export environment.
Dubbed, ‘Business Environment and Export Enhancement Programme' (BEEEP), it also seeks to build on interventions already supported by the government and will complement the goal of Integrated National Export Development and Promotion Strategy (INEDPS) that aims to grow Kenya’s agricultural exports.
“This generally is with the goal to close the negative balance of trade through export growth, factor productivity and stimulate economic development and job creation in a sustainable and inclusive manner,” Kuria said.
The programme will further help address supply chain constraints and storage and logistics challenges; improve processing, value addition and information access; and enable reforms that will enhance the business environment.
Interventions will include increasing supply of locally produced goods that meet export market standards, reduce trading times and costs, and also help shift export supply chains from air freight to sea freight.
Other areas of support include harmonising trade processes and procedures, improving access to quality standards and phytosanitary measures, as well as enhancing capacity of public sector actors to implement necessary business reforms at the national and county levels.
EU Ambassador to Kenya, Henriette Geiger said the initiative will bring the private sector, government and financing institutions together and enhance synergy in the market.
“We are hereby committed to support the Kenyan government in achieving a sustainable growth of its exports, including greening of transport and logistics aligned with our global gateway strategy of creating more conducive business environment both at national and county level,” Geiger said.
“This will make Kenya an even more attractive destination for investments.”
TradeMark Africa CEO David Beer said the BEEEP initiative will support the country to expand its export base adding on the growth it has experienced recently.
“While Kenya’s export growth has been consistently strong, it can be much stronger. The opportunities in the next ten years will come from developing low carbon supply chains, enabling Kenya to take a larger share of world markets,” he said.
He said the partnership will specifically look into the horticulture sector which has great potential in boosting exports, adding value and creating jobs.
