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Kenyan Digest

Intensifying Kenyan trade is improving lives

4 min read
Published 8 February 2020

By MICHAEL CHERAMBOS
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Whenever one looks at the most successful nations in history, one always sees that they excelled in trade. While it isn’t clear who is the chicken and who is the egg, trade and power do go together. Already the Romans had, over 2000 years ago, trade routes that spanned from today’s Italy, south to the Sahara and east all the way to China! These trade routes had such a lasting impact that until today, many roads in Europe and northern Africa follow the roads the Romans built there in the antiquity.

Thus, the tradition of opening new markets for trade was born. While the British Crown took the idea to cursed colonial shores, ever since modernity set in, new markets are usually developed on more equal and friendly terms. Hence, many economic historians agree that the swift recovery of Europe from the devastation of World War II in the second half of the 20th century is due, in large part, to the development of the European Economic Community, which became the European Union.

This model of free trade and movement of people stands, even after the hiccup of the Brexit, as the guiding star of many international, economic spaces. Wherever small to medium countries aspire to stand their ground against the superpowers of the day, they strive for stronger economic ties between themselves, and to build a proper economic bloc. This was done successfully in South America with the establishment of the Mercosur, and in South-Eastern Asia with the establishment of the ASEAN.

President Uhuru Kenyatta clearly understands the importance of increasing trade for the development of Africa in general and Kenya in particular. He has made that clear on numerous occasions and dedicated many international speeches to this topic. Yet, actions speak louder than words, and Uhuru was instrumental for drafting and getting all African nations along to agree on the African Continental Free Trade Area (AfCFTA). This trade agreement, uniting 1.2 billion people in 55 countries, has the potential to shape our future for the better in decades to come.

Yet, Uhuru doesn’t forget where he came from. For a tree to grow tall and stand strong and steady, he needs to have deep and thick roots. Thus, Uhuru works tirelessly to strengthen Kenya’s ties with our neighbours, first and foremost economically. The East Africa Community has always promoted regional trade as one of its cornerstones and was the first to introduce an international common market in Africa. These developments are intensified under Uhuru, and he puts all of his diplomatic weight behind them.

It is no wonder then, that almost every day we can read about further steps which strengthen our ability to trade with our neighbours. The construction of the LAPSSET corridor project, which will link us with South Sudan and Ethiopia, is one of several major steps towards effortless and efficient regional trade. On another part of our northern border, the national government is starting the construction of a network of border entry-points to facilitate trade with Ethiopia.

It seems hard to believe, but at the moment, there is only one border point (at Moyale). This is due to the fact that until recently, the Ethiopian government was under the influence of communist stakeholders. Fortunately, the new president Abiy Ahmed believes in the free market and freedom for his people. Thus, we can find a common base for increased trade, and Uhuru’s government acted quickly: They plan to build an additional five border crossings on the 897-km long border between Kenya and Ethiopia. These, hopefully, are just a small piece of a much broader master plan, which includes a total of 26 new border crossings, built on the borders with all our neighbours.

There is no doubt that the government is taking the issue of improving our mercantile relations very seriously. Increased trade and prosperity, as well as better government relations will also go a long way when it comes to improved security cooperation, which is a topic Uhuru seems to care about deeply.

The biggest winners of these investments are, of course, the citizens living close to the border and indeed further afield. The increase of traffic and trade will rejuvenate their villages and ensure a steady, higher income for their inhabitants, and hopefully a better life for the generations to come.