Ghana and Kenya commit to enhance trade and investment

By Daniel NONOR, Jubilee House

Ghana and Kenya have signed several key agreements aimed at enhancing bilateral relations and boosting trade and investment between the two countries.

The agreements, signed at the Jubilee House, the seat of government, formed part of activities marking the three-day state visit by the Kenyan president, Dr. William Ruto, to Ghana.

The agreements include cooperation in trade and investment, science and technology, tourism, education, governance, and defense. 

President Nana Addo reiterated the longstanding relationship between the two countries and pledged Ghana’s commitment to forging stronger bilateral and trade relations for the mutual benefit of both nations.

President Nana Addo said the visit by the Kenyan President reaffirms the ties of cooperation and the bonds of friendship that exist between the two countries.

“These relations were forged in colonial times in the struggles of our two peoples to free ourselves from the yoke of colonialism and imperialism and create the conditions for lives of dignity and freedom for ourselves,” he added.

He highlighted Ghana and Kenya’s active participation in regional and international forums, collaborating on issues of common interest such as regional integration and sustainable development.

“Trade and economic ties between our two countries have been growing steadily over the years with cultural exchanges, fostering a deeper understanding and appreciation of each other,” he said.

President Nana Addo noted further that discussions with his Kenyan counterpart had centered on moves to gather synergy to drive investments and increase opportunities for the mutual benefit of the two nations.

“Our deliberations centered on driving investment opportunities, domestic and foreign, into our two countries and touched on the need for enhanced cooperation and partnership in our development efforts,” he added.

President Nana Addo expressed the appreciation of the Ghanaian people to the Kenyan government for the support Ghana received in hosting the Secretariat of the Africa Intercontinental Free Trade Agreement.

He emphasized the importance of the successful operation of the AfCFTA to transform the economic circumstances of the continent.

“Just as the first leaders of our two nations, Kwame Nkrumah and Jomo Kenyatta, were united by their common determination to free our people from foreign domination and exploitation, so we are united in our determination to win the battle for rapid economic development,” President Ruto emphasized the importance of entrenching democracy in Africa to facilitate her development.

He said the two nations are determined to collaborate in tackling internal conflicts, wars, terrorism, and violent extremism, aiming to safeguard peace and stability and thus promote regional development.

President Ruto lauded Ghana’s decision to remove visa requirements for all Africans by the end of the year, a move aimed at enhancing the continent’s integration.

This, he said, aligns with one of the goals of the African Continental Free Trade Area to create a single market in the continent and to drive economic growth, job creation, and poverty eradication.

President Ruto pointed out that the free movement of people has contributed to growth in trade, investment, and tourism between Ghana and Kenya.

He said the two nations will use the opportunities provided by the Africa Continental Free Trade to further boost trade between Kenya and Ghana.

The President said through the unity of African leadership, the continent stands a better chance of effectively implementing its climate action agenda.

The two leaders also discussed institutional reforms at the African Union aimed at making the continental organization fit-for-purpose and for the effective implementation of Agenda 2063.

This includes the need to restructure the African Union organs, conclude the division of labor between the AU Commission Organs, Specialized Agencies, and Regional Economic Communities, as well as the need to streamline the agenda of the Pan-African Parliament to cover strategic issues.

As part of his visit, the Kenyan President addressed the Ghana-Kenya Business Forum.

On climate change, the two countries reiterated their determination to help meet the global commitment to halve emissions by 2030 and achieve neutrality by 2050.

However, they argued that a balance should be found and maintained between social, economic, and environmental imperatives to avoid jeopardizing Africa’s growth possibilities.

The two countries also urged the world’s developed nations, responsible for 76 percent of carbon emissions compared to Africa’s four percent, to honor their commitments to developing countries to help fight climate change, as agreed at COP 21 in Paris and COP 26 in Glasgow.

They reiterated their strong support for the Nairobi Declaration, which emerged from the 2023 Africa Climate Summit.

President Ruto emphasized that the establishment of the bi-national commission would allow his country to elevate its interaction and collaboration with Ghana.

He stated, “We have noted this development as a significant milestone in the evolution of our diplomatic ties, which stand on a warm and cordial dynamic and impactful historic collaboration.”

President Ruto further explained that the inaugural session of the bi-national commission would provide an opportunity to reaffirm friendship, deepen bilateral ties, and strengthen African economic integration as espoused by the Africa Union Agenda 2063.

He highlighted the influence of the Pan-African independent movement, inspiring many African countries following Ghana’s independence.

President Ruto underscored the importance of the African Continental Free Trade Area (AfCFTA), based in Ghana, as a driving force in the economic integration and development of 55 countries across eight regions and economic communities on the continent.

President Ruto emphasized the benefits of the free movement of people between Ghana and Kenya, particularly in trade, investment, and tourism.

He noted significant growth in trade between the two countries, highlighting that “In 2002, for example, Kenya’s imports to Ghana were valued at 10.4 million US dollars, and imports were valued at 4.8 million US dollars.”

In September 2022, Kenya shipped its first consignment of locally made batteries to Ghana following its selection among seven countries to pilot the continental free trade area, aimed at facilitating the movement of goods and services across Africa.