This archive report was first published on 23 June 2020.
On June 23, 2020, Kenya announced its decision to enter into a trade pact with the United States, a first for sub-Saharan Africa. This move has sparked both excitement and skepticism, with many Kenyans questioning the terms of the deal.
Kenya's trade relationship with the US is currently dismal, with the country ranking among the bottom 100 trade partners of the United States. The proposed deal aims to increase trade between the two nations, but concerns have been raised about the potential impact on intra-African trade.
At the regional level, the proposed deal has been discouraged as being contrary to the Intra-Africa trade spirit. Kenya and the US must address these concerns to ensure the deal is replicated in other African countries and does not undermine China, Russia, the European Union, and other geopolitical players in Africa.
Kenya must carefully evaluate where to cede ground without losing its goals. Transparency is key, and the government must involve parliament and the African Union secretariat to ensure conformity with regional and continental trade agreements.
As a leader in Africa, Kenya owes it to the continent to get the best deal. The country must not compromise its sovereignty and must ensure that the deal does not hamper intra-African trade.
Kenya's experience with the AGOA deal has been mixed, with the country benefiting from low-value products but facing challenges in building a more secure trade relationship. The country must now mature up and embrace the African spirit, taking responsibility for its trade decisions and not just relying on privileges.