Kenya has the potential to become the Singapore of Africa through vertical business integration, job creation, innovation, and foreign direct investment, US Ambassador to Kenya Meg Whitman has said.

The Ambassador was speaking during the fourth edition of the regional American Chamber of Commerce Kenya (AmCham) Business Summit that kicked off in Nairobi on Wednesday, April 24.

President William Ruto and US Secretary of Commerce Gina Raimondo are expected to announce fresh agreements that would boost trade between the two nations during the second and final day of AmCham Business summit.

This year's summit is running under the theme, ‘Catalyzing The Future of US-East Africa Trade and Investment’.

US Ambassador to Kenya Meg Whitman said, “I remain bullish on Kenya’s economic prospects. President Ruto and Secretary Raimondo will announce several deals that further underscore our economic ties. Investing in Kenya offers every business the opportunity to diversify their supply chain and not rely on a single-entry point or two.”

Hosted by the American Chamber of Commerce (AmCham), the April 24th and 25th Summit brings together delegates from the US, East and Sub-Saharan Africa keen on discussing how trade and investment between the region, Africa, and the US can be accelerated to support the growth of economies in all regions.

On Wednesdat, the US Secretary of Commerce, Gina Raimondo, and Kenya’s Cabinet Secretary in the Ministry of Investments, Trade, and Industry, Rebecca Miano, were the key guests at the opening ceremony.

Other keynote speakers included Ambassador Meg Whitman, Luis Ortega, President, Coca-Cola Africa and Summit Diamond Sponsor, and Peter Ngahu, AmCham Board President.

Ms Miano highlighted the Kenya and US cordial relationship enjoyed over the last 60 years citing the recent United States-Kenya Strategic Trade and Investment Partnership (STIP) MoU signed between the two nations to address investment-related challenges and promote business opportunities.

Some of the sectors the deal seeks to channel investments are infrastructure, health, renewable energy, and the digital economy.

She said, “Kenya and the U.S. have worked closely to address bottlenecks affecting American investors in Kenya in addition to convening quarterly US-Kenya business dialogues. We have developed an operational strategy, a plan, and a budget to enable Kenya Investment Authority (KenInvest) to scale and deliver services to meet the objectives of the MoU to offer high-quality services that close investment opportunities at scale for both the private sector and the government's trade between Kenya and the US.

"We are working to have an efficient and streamlined service provision framework that facilitates business establishment and growth. We assure you that Kenya is ready, it is open for business, and it means business.”

Ambassador Meg Whitman also highlighted various investment opportunities in Kenya, especially within the creative industry and clean energy.

Reforms that Kenya has undertaken to improve business climate and attract Foreign Direct Investments.

Read also: Over 1200 converge at AmCham Business Summit 2024

 

US and Kenya relations

 

Additionally, the Ambassador said reforms and partnerships will be critical to help unlock unlock Kenya’s economic potential. She said, “I have been traveling around Kenya and the United States talking about how investments in Kenya have ultimately increased prosperity for citizens in both countries. Although more progress is needed, our economic partnership is strong and is growing. This year, we celebrate 60 years of US and Kenya relations, as well as the historic upcoming State Visit of President Ruto in Washington DC in May. This is the first African heads of state visit since 2008.”

 

She added, “Following months of deliberations and consultations with the business community, Kenya is making real progress to improve the business climate. And this is what Kenya has accomplished since last year. First is the elimination of VAT on export services. Second, the elimination of the domestic equity requirements for ICT companies. Third, the removal of tax on stock-based compensation for employees of startups. And finally, Kenya has taken real steps to revitalize Kenya's special economic zones to maximize their competitiveness.”

 

While exposing the challenges that face investment plans and trade between the US and Kenya, Ambassador Whitman said, “Kenya has done very well attracting venture capital to startups. But it continues to fall short of its full potential for promoting foreign direct investment in larger quantities beyond just startup capital.

 

"And in a world that is constantly moving faster, slow execution can be a major obstacle to attracting FDI and expanding business opportunities. This lack of execution speed could be addressed through the creation of a one-stop shop for walking businesses through the process of starting or growing a business from start to finish. Despite the challenges, there are exciting opportunities to be seized and waiting to be captured. So how do I feel about Africa and Kenya and United States business relationship? I feel good.”

 

[email protected]