For years, the narrative of Africa-global trade partnerships has been defined by extraction or aid dependency. Kenya has felt this acutely — supply chain disruptions, infrastructure gaps, and foreign investment that rarely reaches the small-scale farmer or the young job-seeker. But a new model is emerging along the Indian Ocean corridor, and it is being built not on aid pledges, but on logistics, private capital, and long-term industrial integration.
The partnership between the United Arab Emirates (UAE) and Kenya is often described in terms of rising trade volumes or new investment announcements. But those metrics capture only part of the story. What has taken shape over the past two decades is a mature, strategic relationship rooted in shared economic ambition and a belief that South-South cooperation can be both transformative and commercially sound. At a time when global economic patterns are shifting and new growth corridors are emerging, the UAE and Kenya are demonstrating that developing economies can chart a path defined not by dependency but by joint capacity building and long-term investment.
As His Excellency Sheikh Shakhboot bin Nahyan Al Nahyan, the UAE Minister of State at the Ministry of Foreign Affairs, recently affirmed: “The UAE enjoys historic ties with African nations, and today our partnership has evolved into one grounded in a shared commitment to prosperity – particularly across East Africa. In Kenya, this is demonstrated through our strategic focus on logistics, infrastructure, and innovation – supporting supply chain continuity, strengthening business resilience, and driving long-term investment”.
The anchor of this partnership is the Comprehensive Economic Partnership Agreement (CEPA) — the first agreement of its kind signed by the UAE with a mainland African country, representing a transformative step in enhancing trade, investment, and economic cooperation. The agreement strengthens Kenya’s position as a gateway to East and Southern Africa and reaffirms the UAE’s role as a global logistics and financial hub connecting the Middle East, Asia, and beyond.
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Signed in January 2025, the agreement includes the elimination of tariffs, provides market access for Kenyan service providers in sectors such as transport, construction, and logistics, and encourages foreign direct investment and public-private partnerships in agri-value chains with the UAE.
On this point, H.E. Al Nahyan noted: “This approach is further supported by the UAE’s broader trade agenda, including the CEPA program, which is expanding opportunities for deeper economic engagement across global markets, noting here that in 2024, the UAE-Kenya bilateral trade volumes reached USD 3.9 billion.”
But the real story lies beneath the diplomatic headlines. Early this year, UAE-based logistics firm Al Sharqi Shipping officially expanded into Kenya and Uganda, creating a dual operational footprint aimed at digitising and accelerating trade between the UAE and Africa’s high-growth markets.
Both governments recognize that development is accelerated when infrastructure is modern, when logistics are efficient and energy systems are reliable.
The expansion targets the full logistics value chain in East Africa, with Kenya leveraging CEPA to serve as the primary coastal gateway for cargo entering the continent, while Uganda will act as a critical transit hub for the Great Lakes region, managing on-carriage logistics to landlocked markets, including Rwanda, South Sudan, and the Democratic Republic of Congo.
In March, the Dubai-based AriseIIP announced plans to pool over $3bn for industrial projects in Kenya in the next five years. The infrastructure developer will commit funds towards three industrial and export parks, as well as the Rivatex textiles firm. The projects include two export zones along Kenya’s coast and one in Naivasha, Nakuru County.
AriseIIP has pledged between 30% and 40% of the investment for an equity stake, while the remaining capital will be sourced through debt from development finance institutions and additional lenders.
The firm, which is owned by Afreximbank’s private equity unit (FEDA), Africa Finance Corporation, UAE-based Equitane Group and Saudi Arabia’s Vision Invest, will collaborate with KCB Group and Afreximbank to create an $800m facility that will support future investors occupying the new zones.
The strength of the UAE–Kenya partnership lies in its combination of pragmatism and strategic vision. Both governments recognize that development is accelerated when infrastructure is modern, when logistics are efficient, when energy systems are reliable, and when private investment is protected and incentivised.
By aligning on these fundamentals, the two countries have avoided the pattern in which bilateral relationships remain transactional or narrowly focused on extractive sectors. Instead, they have built a partnership that aims to deliver jobs, enhance productivity, and unlock regional value chains.
Zachary Ochieng is a former Business and Technology Editor and currently a Global Communications Strategist with deep knowledge of East Africa’s logistics and trade landscape
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