Kenya-India Business Ties Strengthened with Launch of I-KBC

Nairobi – The Kenyan government is making strides to enhance business relations with India through the launch of the India-Kenya Business Council (I-KBC). Cabinet Secretary at the Ministry of Investment, Trade and Industry, Rebecca Miano, emphasized the government’s commitment to simplifying policy regulations and offering tax incentives to investors.

According to Kenya News Agency, speaking at the Kenya-India 2023 Joint business forum, the I-KBC, encompassing leaders from diverse sectors, marks a significant step in strengthening bilateral trade relations. She highlighted sectors such as power, energy, logistics, media, healthcare, ICT, and agriculture as areas of collaboration. Miano noted the Confederation of Indian Industry’s role, a non-governmental organization, as a valuable partner for Kenya in terms of learning and benchmarking.

Kenya, often referred to as the gateway to Eastern Africa, has seen Indian investments surpass USD 1.5 billion, with pharmaceutical exports playing a crucial role. The I-KBC aims to balance the trade between the two countries, currently skewed in India’s favor.

Miano invited Indian businesses to explore investment opportunities in Kenya and assured her ministry’s support. She also mentioned the upcoming Middle East 2023 Expo in Kenya, which is expected to bring exhibitors from nine countries, offering networking opportunities to promote Kenya as an investment and tourism destination.

Indian Minister of State for External Affairs and Parliamentary Affairs, Vellamvelly Muraleedharan, highlighted India’s robust business ecosystem and young, skilled workforce as assets for potential collaboration. He mentioned India’s ‘Digital India’ initiative, which has seen tremendous growth in the IT and digital sectors. Muraleedharan sees potential for Indian companies to collaborate with Kenyan firms, especially in the ‘Silicon Savannah.’

Emphasizing Kenya’s strategic position and infrastructure, Muraleedharan noted that doing business in Kenya opens access to the entire East African market. He mentioned the presence of over 200 Indian companies in Kenya, contributing significantly to the economy and job creation. The launch of I-KBC, he said, would provide a structured platform to enhance Indian investment in Kenya.

Principal Secretary in the State Department for ICT and Digital Economy, Eng. John Tanui, stressed the importance of the I-KBC in promoting technology and innovation. He expressed a desire to deepen collaboration with India, particularly in enhancing Kenya’s digital infrastructure.

KEPSA CEO Carole Kariuki highlighted the trade imbalance between Kenya and India, stressing the role of SMEs in bridging this gap. She emphasized the need for programs to support Kenyan SMEs, drawing inspiration from India’s ‘startup India platform.’

The India-Kenya trade relationship, with a current volume of USD 2.2158 billion, illustrates the extensive economic ties between the two nations, spanning various sectors.