Two of East Africa’s largest and most important economies for the region are Kenya and Ethiopia. And thankfully, there is some positive news! It seems like some wise decisions are being made for the region’s long term economic transformation, as these countries seek to deepen their economic integration, potentially boosting the entire region’s future success.
Last week a flurry of articles came out about how both states have decided to sign a memorandum of understanding to cooperate on areas where they share a mutual interest. Kenyan president William Ruto stated “I believe that we are now ready to take the next step in making the Kenya-Ethiopia partnership a beacon of transformative possibility and a force of good in our region and our continent.” Specifically, strategies to enhance trade and investment between the two states were discussed, both of which are critical to the region’s prosperity in the near future.
Furthermore, it seems like both countries are not just making speeches about cooperation, but also willing to take action. Kenyan officials have committed to ensure that the Port of Lamu, located on Kenya’s east coast (which borders the Indian Ocean), will be upgraded to have significantly better facilities in the coming years, making the port more efficient and potentially a hub for regional trade. Such a decision made Ethiopia quite happy, Ethiopia relies on the Lamu port for the importing of critical goods.
Strong and improving relations between Kenya and Ethiopia is a promising development for the region and the continent. For years, Africa has struggled to develop for a variety of reasons, and one of them is the fact that the continent has been segmented and unable to improve political and economic cooperation between states. Thankfully, it seems as if progress is being made. Each time decisions like this one between Kenya and Ethiopia are made, goods move more easily across the continent, economic efficiency can improve, and African lives improve – and that is exactly what we want to see.
Alexander Jelloian
Alexander Jelloian is the Research and Project Manager at the Initiative for African Trade and Prosperity.
Two of East Africa’s largest and most important economies for the region are Kenya and Ethiopia. And thankfully, there is some positive news! It seems like some wise decisions are being made for the region’s long term economic transformation, as these countries seek to deepen their economic integration, potentially boosting the entire region’s future success.
Last week a flurry of articles came out about how both states have decided to sign a memorandum of understanding to cooperate on areas where they share a mutual interest. Kenyan president William Ruto stated “I believe that we are now ready to take the next step in making the Kenya-Ethiopia partnership a beacon of transformative possibility and a force of good in our region and our continent.” Specifically, strategies to enhance trade and investment between the two states were discussed, both of which are critical to the region’s prosperity in the near future.
Furthermore, it seems like both countries are not just making speeches about cooperation, but also willing to take action. Kenyan officials have committed to ensure that the Port of Lamu, located on Kenya’s east coast (which borders the Indian Ocean), will be upgraded to have significantly better facilities in the coming years, making the port more efficient and potentially a hub for regional trade. Such a decision made Ethiopia quite happy, Ethiopia relies on the Lamu port for the importing of critical goods.
Strong and improving relations between Kenya and Ethiopia is a promising development for the region and the continent. For years, Africa has struggled to develop for a variety of reasons, and one of them is the fact that the continent has been segmented and unable to improve political and economic cooperation between states. Thankfully, it seems as if progress is being made. Each time decisions like this one between Kenya and Ethiopia are made, goods move more easily across the continent, economic efficiency can improve, and African lives improve – and that is exactly what we want to see.
Alexander Jelloian
Alexander Jelloian is the Research and Project Manager at the Initiative for African Trade and Prosperity.