The CEOE: “Kenya is an excellent gateway to East Africa and a potential market of 1.3 billion people”

The Director General of CEOE International, Narciso Casado, said that “Kenya is an excellent gateway to East Africa and to a potential market of 1.3 billion people,” during the meetings held in this country, as part of the visit by the Secretary of State for Trade, Xiana Méndez to Africa. The Spanish delegation, which also included the Director General of the Spanish Chamber of Commerce, Inmaculada Riera, had meetings with representatives of KEPSA ( the CEOE’s counterpart organisation); the Kenya National Chamber of Commerce and Industry; the European Business Council; and took part in a meeting with Spanish companies operating in the country.

Taking part in the latter were, besides Xiana Méndez, Narciso Casado and Inmaculada Riera, the Spanish Ambassador to Kenya, Cristina Díaz, the Economic and Commercial Counsellor, Ana Menéndez-Abascal, the Commercial Attaché, Julio Rasilla, the Director of the Cabinet of the Secretary of State for Trade, Erik Rovina, and representatives of the main Spanish companies operating in the country. During the meeting they discussed the current situation in the region and assessed the potential for bilateral cooperation and investment projects currently underway.

They also used the visit to meet the CEO of the Kenya Chamber of Commerce, Samuel Matonda, the Executive Director of KEPSA (the CEOE’s African counterpart organisation), Carole Kariuki, and the President of the European Business Council, Darren J. Gillen. They also visited the facilities at the Torrent factory, a company specialising in safety caps which has years of experience.

Big Four Economic Agenda and AfCFTA agreement

The Director General of CEOE International, Narciso Casado, stressed during the various meetings that the country’s economy shows enormous potential and dynamism, being the fourth-largest economy in Sub-Saharan Africa and the sixth-largest in Africa. Moreover, “the investment opportunities offered by the Government, through defined plans such as the Big Four, are very much appreciated by Spanish companies,” he said.

In this vein, the Kenyan side reported that the Big Four Economic Agenda focuses on affordable housing, universal health coverage, food security and improving the manufacturing sector. “This is expected to boost industry from 9.2% to 20% of GDP, food security to 100%, universal health coverage for all, and 500,000 new affordable homes will be built,” they said.

Casado, for his part, also welcomed the implementation of the African Continental Free Trade Agreement (AfCFTA), which establishes a free trade area comprising 52 countries and envisages a projected population of 2.5 billion people by 2040. “Through this agreement, Kenya can be consolidated as an important logistics hub in East Africa,” he said. Casado also advocated signing the Double Taxation and Reciprocal Investment Protection and Promotion Agreements as quickly as possible, since this will undoubtedly contribute to boosting trade and investment relations between the two countries.

The CEOE supports Spanish companies having a greater presence in Africa, Casado said, and therefore, public-private partnership with Kenya should be a priority, especially in sectors where there is greater growth potential, such as renewable energies; water treatment; infrastructure; rail transport; ports; agri-technology; the pharmaceutical and medical sector; the creative and cultural industries; and inclusive and accessible sustainable tourism, among others.

Areas of bilateral collaboration

The Spanish institutional delegation’s trip culminated with this visit to Kenya, in which both parties expressed their keenness to work together in various areas of common interest, such as the development of infrastructure, the growth of renewable energies and increasing production capacity in industrial areas. They also discussed the possibility of encouraging exchange and cooperation programmes between SMEs, promoting cutting-edge technologies and innovation, boosting the digital economy, artificial intelligence, cyber security and digital trade. Without a doubt, Casado concluded, fostering business development and bilateral cooperation with Kenya represents a win-win for both countries going forward.