Nairobi: The United States House of Representatives has passed a bill to extend the African Growth and Opportunity Act (AGOA) for a further three years, marking a critical milestone in U.S.-Africa trade relations.

According to Kenya News Agency, the extension of AGOA is expected to have significant implications for Kenya's economy, particularly in the textile and apparel industries within the Export Processing Zones (EPZs), which employ over 80,000 people directly and an additional 250,000 indirectly. The previous uncertainty surrounding the sector is now anticipated to transform into renewed confidence and growth.

In a statement read on Wednesday by the Investments, Trade, and Industry Cabinet Secretary Lee Kinyanjui, it was highlighted that the Ministry aims to expand exports of additional products under the AGOA framework beyond textiles. This initiative is geared towards maximizing the opportunities AGOA presents to create jobs and generate wealth in Kenya. 'We are in discussions on a bilateral trade agreement that will cover other key sectors and further cement Kenya's long-standing partnership with the United States,' Kinyanjui stated.

During a recent visit by President William Ruto to Washington, D.C., Kenya's request for enhanced market access to the U.S. was a topic of discussion, as noted by the Cabinet Secretary. Kenya's primary exports to the U.S. include textiles and apparel, coffee, tea, horticultural products, and tourism services. Expanding the export basket remains a priority and aligns with Kenya's broader strategic economic agenda.

AGOA, initially approved by the U.S. Congress in May 2000, is designed to assist the economies of sub-Saharan Africa and improve economic relations between the United States and the region.