Biden’s Administration Commit to Support Nairobi's Investment Appeal in Africa

The Biden administration has committed to support Kenya's investment climate as part of their bilateral trade negotiations. Constance Hamilton, the Assistant US Trade Representative for Africa took the lead in these negotiations and expressed a vision for Kenya. 

According to Hamilton, the goal of the negotiations is to transform Nairobi into an investment magnet, attracting multinational companies that will, in turn, create job opportunities for Kenya's skilled but unemployed youth.

According to report, the ongoing negotiation process is an element of the US-Kenya Strategic Trade and Investment Partnership (STIP) noting that the negotiations kicked off in July 2022, just before the end of former President Uhuru Kenyatta's term.

Hamilton stated that the Biden administration sees this as an opportunity to revolutionize Kenya's investment environment and by doing so, they aim to not only benefit Kenya but also establish it as a model for other African nations to emulate.

“One of the underlying objectives is to offer an attractive platform for multinational companies, which could contribute significantly to job creation. Given the high unemployment rate among Kenya's skilled youth, this is a promising prospect.”

As Kenya has long sought a comprehensive free trade agreement with the United States, it's essential to recognize the significance of this commitment which could potentially replace the African Growth and Opportunity Act (AGOA), which has been in place for two decades.

Hamilton further stated that the primary goal is to create a transformative environment for investments that will support Kenya's quest for job growth and development. 

“The AGOA, originally enacted in 2000 and renewed in 2015, offers duty- and quota-free access to the US market for a range of products from sub-Saharan Africa. For Kenya, it has been particularly vital for its apparel industry.”