Republic of Mauritius- Mauritius willing to take the lead for the setting up a Regional Maritime Service, announces Prime Minister Jugnauth

The Prime Minister, Minister of Home Affairs, External Communications and National Development Unit, Minister of Finance and Economic Development, Mr Pravind Kumar Jugnauth, was speaking this morning at the Mauritius-Kenya Business Forum which focused on the theme An economic corridor promoting intra-African Trade and Investment.  The President of the Republic of Kenya, Mr Uhuru Muigai Kenyatta, the Chairman of the Economic Development Board (EDB), Mr Charles Cartier, the CEO of Kenya Private Sector Alliance, Chairperson, Special Economic Zones Authority, Kenya, Ms Carole Kariuki, were present.

The Business Forum, organised by the EDB, was held at the Intercontinental Mauritius Resort, in Balaclava.  Two Memoranda of Understanding were signed on that occasion, namely: MoU between the EDB and the KEPSA; and MoU between the Mauritius Chamber of Commerce and Industry and the KEPSA.

In his address, Prime Minister Jugnauth underscored the common traits of the economies of Mauritius and Kenya that make them natural partners in development as well as their shared transformative journey in adapting the fourth industrial revolution with a focus on the development of the financial services sector. Our economies are market-based and open to the rest of the world through liberalised external trade systems and are committed to improve the ease-of-doing business for local as well as foreign investors, while being mindful that a key node in the development of Africa in the future will be the ability to substantially increase intra-trade, he said.

Stressing on the need for a Regional Maritime Service for the Indian Ocean Commission and East African countries as already discussed with the President of Mozambique and the President of Madagascar, the Prime Minister underscored that this endeavour would get a major spur if supported by Kenya.  As it is, he said, both parties have during bilateral sessions, agreed to look at ways and means, in a collaborative manner, to harness the opportunities that the Blue and Ocean sector offer in their respective national economies.

Moreover, Prime Minister Jugnauth dwelt on Mauritius’ New Africa Partnership policy which is centered on accelerating outward investments in African countries for which the Mauritius-Africa Fund to spearhead Mauritian investment on the continent and to execute project has been established.  Mauritius, he recalled, is developing Special Economic Zones in Senegal, Ghana, Ivory Coast and Madagascar in partnership with the respective Governments. An International Industrial Park has already been set up in Senegal and Government is facilitating the development of a Technology Park in Ivory Coast and a Business and Technology Park in Greater Accra in Ghana.

The Prime Minister emphasised that it is in that same spirit that Mauritius wants to nurture the Kenya-Mauritius relationship.  Over the last few years more than 10 billion shillings have been invested into the Kenyan economy mostly in the financial services and sugar sectors.

According to Prime Minister Jugnauth, where multilateral efforts are weak, bilateral arrangements can be a game changer, hence the reason why Mauritius is focusing on bilateral cooperation with key African countries such as Kenya which is one of the leading economies in East Africa.  In the last five years, he indicated, our domestic exports of goods to Kenya increased by about 13 times, that is, from Rs 96 million to Rs 1.3 billion. Speaking about the Continental Free Trade Area (CFTA) that came into force last week, and which is projected to become the largest Free Trade Area in the future, he underlined that it will eliminate high tariffs, generate employment especially for the growing young workforce and harmonise the operations of Africa’s Regional Economic Communities.

As for the President Kenyatta, he reiterated his Government’s commitment to continue working closely with the Government of Mauritius for the successful implementation of all commitments, goals and objectives of strengthening bilateral cooperation between our two fraternal countries.  The forum, he underlined, will provide a platform for the two business fraternities, to freely interact and agree on how to enhance trade and investment cooperation.

According to the Kenyan President, the enhanced partnership will ensure that our two nations move up the economic value chain, create sustainable economies by accessing international markets and also attracting Foreign Direct Investments. On that note, he urged the Mauritian business community to take up the opportunities offered through business fora and bilateral meetings to increase trade and investments.

Furthermore, President Kenyatta observed that the African Continental Free Trade Agreement will help to create a single continental market with free movement of people, goods and services and generate employment, and enable economic development, business integration and increased market access, for advancing Africa’s socioeconomic development and towards the attainment of the African Union’s Agenda 2063.

As for the EDB’s Chairman, Mr Cartier, he highlighted that Kenya has maintained strong economic fundamentals and positive growth and its economy is on the move offering numerous business opportunities, and is hence leading the way in Africa.  Mauritius and Kenya, he pointed out, share nearly five decades of bilateral economic relations in areas of trade and investment and have been supporting each other in their respective economic growth, with Mauritius having a total domestic export to Kenya of nearly Rs 2 billion and imports amounting to Rs 1.4 billion of goods in 2018.

In addition, Mr Cartier underlined that the political commitment expressed by the two countries’ leaders during the course of the State Visit, through the signature of Agreements, gives the business community from both sides enormous confidence. It certainly paves the way for a robust and enriching Mauritius-Kenya economic corridor that will further enhance trade of good and services and capture more capital flows and investment, he said.

For her part, the CEO Kariuki, spoke of the continuous improvement in Kenya’s business climate through policies, legislations and regulations that have simplified market access and increased business opportunities.

According to Ms Kariuki, the recently signed MoUs with the KEPSA will enable both countries build ties as members of the COMESA and put the countries in an advantageous position to leverage on intra-African trade.  Through this joint venture, both parties will move forward together to resolve challenges, tap in human and resources while promoting the best interests of the respective countries.  On that score, she welcomed Mauritian investors to take advantage of the highly-skilled manpower, financial sector, and conducive work environment of Kenya.