NAIROBI, Kenya, Jul 11 – President Uhuru Kenyatta on Monday announced that Rift Valley Textiles (Rivatex) would benefit from a Sh3 billion line of credit extended to it by Export-Import (Exim) Bank of India.
The Industrial Development Bank of Kenya, he said, would benefit from a second line of Sh1.5 billion, “for the development of small and medium enterprises.”
He made the announcement following bi-lateral talks with Prime Minister Narendra Modi of India at State House, Nairobi.
“We are also encouraged by the progress in the power transmission project under an Indian line of credit of 60 million dollars. Kenya’s highly successful geothermal sector, and energy efficiency projects such as LED based smart street lighting, are a couple of new areas where we could build our engagement,” Modi said.
In total, Kenya and India entered into seven agreements during the talks at which their respective Cabinet Secretaries were present.
They revised the Double Taxation Avoidance Agreement, entered an MoU on Defence Co-operation, National Housing Policy Development and Management, agreed on the aforementioned LOCs, entered an MoU on standardisation, expertise sharing and mutual trade between Bureau of Indian Standards and the Kenya Bureau of Standards and agreed on visa exemption for diplomatic passport holders.
“India is Kenya’s largest trading partner, and the second largest investor here. But, there is potential to achieve much more if we take steps towards a more diversified trade basket. India and Kenya are two developing countries. We are also two innovation societies. And, the important part is that whether it is the process, products or technologies, our innovations are relevant not just to our societies. They also help improve the lives of people in other developing countries. The success of M-PESA is one such classic innovation,” Modi said.
Stability and security being central pillars to the growth of any economy, Modi said Kenya and India had entered an MoU to guard against crimes endemic to high seas and cyber crime in light of the technological advancements he testified to earlier in his statement.
“Terrorism and the rapid spread of radical ideologies pose a common challenge to our people and to the whole world. We have agreed to deepen our security partnership including in combating drugs and narcotics, and human trafficking.”