Kenya and South Korea on Thursday, November 24, signed an agreement that will lead to a free trade agreement between the two countries.
The two countries penned down a Trade and Investment Promotion Framework that is expected to address the trade imbalance that hugely favours South Korea.
South Korea exports’ worth to Kenya currently stands at Ksh60 billion ($500 million) compared to Kenya’s exports to Korea which stands at Ksh3 billion ($25 million).
On Wednesday, November 23, President William Ruto secured another four multi-billion deals in South Korea.
Among the deals secured are Kshs120 billion to support local manufacturing in Health, Smart City and Technical and Vocational Education and Training (TVETs).
The South Korean government has given Kenya a grant of Ksh1.3 billion which will go into infrastructural development.
The South Korean government has also agreed to support for Sagana Industrial Park that will employ over 10,000 people.
Dongo Kundu Special Economic Zone also received a short in the arm from the Korean government.
At the same time, Kenya and South Korea business organisations signed a partnership agreement to fast track trade and investment.
The two organisations also agreed to pursue development-oriented policies that support job creation, entrepreneurship, creativity, innovation and encourage the growth of Micro, Small and Medium Enterprises (MSMEs).
"The agreement also seeks to promote effective Public-Private Partnerships and address youth unemployment. The deal was signed by the Kenya National Chamber of Commerce and Industry (KNCCI), the Korea Institute of Procurement and South Korea's SDG Youth," read a statement from State House.
Kenyan and South Korean business organisations also agreed to prioritise investments that will fast track the realisation of the United Nations (UN) 2030 Agenda for Sustainable Development.
Ruto assured the Korean business community that Kenya has created an enabling environment to attract investors.
The president welcomed the South Korea business community to invest in major projects in transport, infrastructure, agriculture, health and ICT in Kenya.
"Kenya has tremendous human talent. You can get any skill you need," President Ruto added.
