Kenya is courting investors from Sharjah, the third largest city in the United Arab Emirates (UAE), to take up opportunities in ports, logistics and green industrial projects.
- •In mid-January, President William Ruto and UAE President Sheikh Mohamed bin Zayed Al Nahyan presided over the signing of the CEPA, the first such agreement the UAE has concluded with a mainland African nation.
- •The deal is expected to deepen trade, spur investment and promote value addition, positioning Kenya as a gateway to East and Southern Africa, while reinforcing the UAE’s role as a global logistics and financial hub.
- •In 2023, total trade reached KSh445 billion, with the UAE ranking as Kenya’s second-largest source of imports and sixth-largest export destination.
Speaking in Nairobi during the UAE–Kenya Trade and Investment Forum, Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui urged Emirati firms to fast-track investments tied to the Comprehensive Economic Partnership Agreement (CEPA), saying the pact has opened a new chapter in bilateral economic relations.
Trade flows between the two countries have more than doubled over the past decade. Kenya’s key exports include meat products worth KSh9.9 billion, fruits at KSh5.2 billion, and vegetables and flowers valued at KSh5.6 billion. In return, Kenya imports petroleum, machinery, chemicals and industrial inputs from the UAE.
The CEPA aims to reduce trade barriers, simplify customs procedures and spur industrial cooperation. It also extends beyond goods to cover services, digital trade, technology transfer and sustainability. The agreement aligns with Kenya’s Bottom-Up Economic Transformation Agenda by opening markets for priority value chains and supporting green growth.
Logistics, and Energy
The CEPA is expected to unlock UAE investment across multiple sectors including ports, airports, water systems, agriculture, ICT, human capital development and healthcare supporting Kenya’s strategy of reducing reliance on debt while raising foreign direct investment and public-private partnerships.
Kinyanjui said the next step is rapidly implementing investment opportunities arising from the pact. He singled out the Mombasa Port as a strategic entry point for UAE capital, noting Kenya is seeking partners to modernise older berths and introduce direct shipping lines to solidify the port’s position as the region’s primary trade gateway.
He added that Kenya’s logistics network, including the Nairobi Inland Container Depot and digitised customs platform CARGOES, presents scope for continued UAE collaboration in digital freight systems and port community platforms.
Kenya is also positioning itself as a clean industrial hub, with 93 percent of its power already derived from renewable sources. The government has established a US$1 billion Green Investment Fund targeting waste-to-energy systems, electric mobility and sustainable agriculture. Kinyanjui encouraged UAE fund managers and private investors to partner with counties on waste management and renewable energy infrastructure.
To accelerate deal flow, Kenya plans to set up joint Project Preparation Facilities to convert early-stage ideas into bankable ventures. The government is also reforming regulations to improve predictability, digitising tax administration, expanding incentives under Special Economic Zones and rolling out County Aggregation and Industrial Parks.
