Kenya’s Prime Cabinet Secretary, Musalia Mudavadi, has reaffirmed the country’s commitment to enhancing Lamu Port as Southern Ethiopia’s key trade gateway.

Speaking after a meeting with Ethiopia’s Minister of Foreign Affairs, Dr. Gedion Timothewos, Mudavadi lauded Ethiopia’s increased use of the port, calling it a game-changer for regional trade efficiency and economic growth.

Mudavadi urged Ethiopia to maximize Lamu Port’s full potential, emphasizing Kenya’s dedication to ensuring smooth trade operations through the facility.

“Had a productive meeting with H.E. Dr. Gedion Timothewos, Ethiopia’s Minister of Foreign Affairs, where I commended Ethiopia’s strategic use of Lamu Port and reaffirmed Kenya’s commitment to ensuring it serves as Southern Ethiopia’s primary gateway. Lamu Port presents a game-changing opportunity for boosting trade efficiency and economic growth between our nations, and I encouraged Ethiopia to maximize its full potential.,” Musalia noted.

Among the key bilateral matters discussed was the challenge faced by Kenya Airways in repatriating funds from Ethiopia. The Prime CS underscored the urgency of resolving this issue to facilitate seamless air connectivity and cooperation between the two nations.

Additionally, Mudavadi commended Ethiopia’s move to grant a telecommunications license to the Safaricom-led consortium, a decision that has already attracted $1.9476 billion in investment and gained 4.6 million active customers as of June 2024.

However, he raised concerns over regulatory challenges hindering Safaricom’s operations, including interconnection rates, pricing regulations, tax incentives, and infrastructure setup.

Addressing these issues, Mudavadi noted, would unlock even greater economic benefits for both Kenya and Ethiopia, strengthening regional partnerships and fostering sustainable growth.

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