Kenya, Saudi Arabia sign four deals to boost trade, Jobs and investment

Kenya has strengthened its economic and diplomatic ties with Saudi Arabia after signing four major agreements expected to unlock fresh investment, expand trade, improve labour opportunities for Kenyans and support development projects.

The agreements were signed during Prime Cabinet Secretary and Foreign Affairs Cabinet Secretary Musalia Mudavadi's official visit to Riyadh at the inaugural Kenya-Saudi Arabia Political Consultations Meeting. They include a Labour Recruitment and Employment Agreement and three Memoranda of Understanding covering direct investment, customs cooperation and development financing.

According to the Office of the Prime Cabinet Secretary, the visit marked "one of the most consequential milestones in Kenya-Saudi Arabia relations," reflecting both countries' commitment to strengthening political relations, increasing trade and investment, and deepening people-to-people ties.

Mudavadi co-chaired the consultations with Saudi Foreign Minister Prince Faisal bin Farhan Al Saud, where the two governments reviewed bilateral relations and agreed to deepen cooperation on regional and international matters while accelerating economic partnerships.

One of the agreements focuses on promoting direct investment to attract more Saudi investors into Kenya. Another seeks to strengthen cooperation and mutual assistance in customs matters to improve customs administration and ease trade between the two countries. A third agreement, signed between the Saudi Export-Import Bank and the Kenya Development Corporation, is expected to increase financing for strategic development projects.

Kenya and Saudi Arabia also signed a Labour Recruitment and Employment Agreement aimed at promoting ethical recruitment, improving working conditions, recognising workers' skills and enhancing the welfare of Kenyan migrant workers employed in the Gulf nation.

The government described the agreements as "a major breakthrough in Kenya's economic diplomacy" that will help turn the strong political relationship between the two countries into practical economic opportunities.

The welfare of Kenyans working in Saudi Arabia was also a key focus of the visit. Saudi Arabia is home to more than 350,000 Kenyans, making it the country's largest diaspora destination outside the United States.

While meeting members of the Kenyan community in Riyadh, Mudavadi reaffirmed the government's commitment to protecting citizens working abroad.

"He assured the diaspora that the Government will continue strengthening bilateral labour agreements, expanding consular services and ensuring that every Kenyan working overseas does so under safe, orderly, regular and dignified migration arrangements," the statement said.

During the Kenya-Saudi Arabia Business Roundtable, Mudavadi invited Saudi investors to increase investments in Kenya in sectors including agriculture, manufacturing, renewable energy, technology, logistics, healthcare, tourism, financial services and Special Economic Zones.

Delivering President William Ruto's message to investors, he declared: "Kenya is open, Kenya is ready, and Kenya means business."

Mudavadi also acknowledged the trade imbalance between the two countries and called for increased exports from Kenya, especially tea, coffee, horticultural produce, cut flowers, fish, marine products and other value-added agricultural products.

He said Kenya's foreign policy is increasingly anchored on economic diplomacy that creates jobs, expands exports, attracts quality investment and opens new markets for Kenyan businesses.

The Office of the Prime Cabinet Secretary said the visit renewed confidence among Saudi investors, with commitments to fast-track existing agreements and explore new business opportunities.

It added that the outcomes of the visit are expected to strengthen labour mobility, unlock new investment, expand trade and reinforce Kenya's position as a strategic diplomatic and commercial gateway between Africa and the Gulf.