New accord to boost trade between Kenya and Egypt
What you need to know:
- The decision means that goods from either countries will only be taxed duty at the destination ports of entry.
- The two leaders also vowed to cooperate on the use of the Nile.
Kenya and Egypt have agreed to remove double taxation on imports in a bid to improve trade between the two countries.
President Uhuru Kenyatta made the announcement after hosting his Egyptian counterpart Abdel Fatah Al-Sisi today at State House.
The talks here were highly punctuated by need to boost economic relations.
"Our economic ties and investments will continue to grow between our two countries.
"The unprecedented interest and participation of business people and government officials from both our nations in the recently held Egypt Business Council held in nairobi shows the desire of our people to expand trade," President Kenyatta said.
The decision means that goods from either countries will only be subjected to import duty.
Trade between the two nations stood at Sh45 billion in 2015, while the highest was Sh59 billion in 2012.
Kenya’s total exports to Egypt were worth Sh20 billion.
These exports are mainly tea, at one time making Egypt the second largest importer of the beverage from Kenya.
"One way that we can prepare ourselves for the opportunities that exist between us is to that we will fast track the conclusion of bilateral agreements on the avoidance of double taxation and on the reciprocal protection of investments," the President added.
The two leaders also vowed to cooperate on the use of the Nile, a sticking issue between Egypt and riparian countries of the world's longest river.
It was the second visit by a sitting Egyptian head of state.
Hosni Mubarak visited Kenya in 1984.
