The local Private Sector Federation (PSF, and the Kenya National Chamber of Commerce and Industry have agreed to strengthen trade co-operation to spur economic growth between the two EAC countries.

Antoine Manzi, the director for advocacy, communication and labour relations at PSF, said the two sides will meet next week to work out the modalities of the co-operation, network and share knowledge, especially on how they can take advantage of the regional market to promote trade and investment.

"Private sector representatives from Rwanda and Kenya are also expected to sign a memorandum of understanding that will help foster accountability, enhance collaboration and trade partnerships between firms in the two countries,” Manzi told The New Times.

He noted that the move is part of the strategies aimed at boosting Rwanda’s export volumes and foreign exchange reserves.

Manzi said the forum, under the theme, "Expanding beyond borders: EAC competitiveness amid security challenges”, seeks to facilitate business-to-business (B2B) engagements, while taking advantage of the available trade and investment opportunities in the East African Community (EAC) nations.

The meeting, which will be held in Kigali, is expected to attract over 200 business leaders, experts and policy-makers.

Kiereini Nemaisa, the trade promotion chief at the Kenya National Chamber of Commerce and Industry, said the meeting provides businesses an opportunity to discuss mechanisms of resolving barriers to trade between the two countries, and how they can fully exploit opportunities presented by regional integration.

She added that with regular engagement, the forum will serve as an accountability mechanism for the private sector members once the partnership agreements have been signed.

The forum is a follow-up on a meeting between the Kenya National Chamber of Commerce and Industry and President Paul Kagame in February in Nairobi.

Trade with EAC

According to statistics from the central bank, Rwanda’s exports to the EAC bloc, including Kenya, raked in $131.6 million in revenues last year, an increase of 7 per cent compared to the previous year.

The country’s main exports to the region are dominated by tea which is sold at Mombasa Commodity Exchange, hides and skins, coffee and horticultural products.

Rwanda imported $546 million worth of goods from Kenya and Uganda in 2014, an increase of 5.9 per cent, from $516.39 million in 2013.

There are hopes that strengthening of trade between Rwanda and its neighbours could help reduce the country’s trade deficit gap.

business@newtimes.co.rw