Representatives from Kenya and Hungary have concluded deliberations for the second Joint Economic and Technical Committee meeting held in Nairobi.
Led by the Principal Secretary of the State Department of Trade, Regina Ombam, and the Hungarian State Secretary for Foreign Affairs and Trade, Tristan Azbej, the duo who co-chair the meeting enumerated the importance of establishing a structured setting to enhance bilateral trade and economic ties between the two countries.
The meeting explored areas of mutual cooperation, including water management and irrigation, agricultural value addition, energy, trade and investment, high technology, and healthcare. Others include higher education, youth affairs and the creative economy, culture, humanitarian assistance, and international development.
Speaking after the meeting, Ombam acknowledged the long-lasting bilateral ties between Kenya and Hungary dating back to 1964.
“We already partner in key areas of trade, investment, agriculture, education, health, and technology, among others. Today, the meeting agreed to strengthen our bilateral relations in these areas to accelerate our economic growth and create additional job opportunities, thereby elevating our Bottom-Up Economic Transformation Agenda,” she said.
The PS added that the two nations will align their bilateral relations to the multilateral arrangements between the European Union and the East African Community.
“Principally, we have not been having very good volumes in terms of our trade between the two nations, and mostly our trade has been more in the agricultural sector, our traditional goods of cut flowers, coffee, and tea, but we are now looking at enhancing this through this cooperation by moving to more value-added kinds of trade, where we move to the next level of agro-based industries through value addition of the agricultural value chains, as well as also look at the whole aspect of trade in services,” said Ombam.
She mentioned three MoUs Kenya has with Hungary, namely in health, education, and agriculture and water management, and now we are looking at what the MoUs entail and what needs to happen and have an agreement on what works for both countries.
The PS explained that Hungary has been investing heavily in this country, particularly in the area of education, with lots of scholarships given to Kenyan students to study in the foreign country.
She added that this kind of exchange program is actually getting Kenya to a level of now expanding its knowledge base, understanding of issues to do with technology and issues to do with modern ways of doing things that actually enhance our competitiveness when it comes to trade.
“In the agricultural sector, when we look at the research work that happens between the two countries and the way the world is evolving, then we are also seeing ourselves becoming more competitive with new innovative ways of agriculture, water management, and even biotechnology,” Ombam said.
Echoing her remarks, Tristan Azbej, the Hungarian State Secretary for Foreign Affairs and Trade, noted that there is much room for improving the trade volumes between Kenya and Hungary.
“We are offering Hungarian technology and expert know-how in technology-intensive industries. In particular, we are already witnessing some Hungarian investments in water, irrigation, and agriculture, and we expect to widen this sectoral spectrum,” he explained.
He pointed out that Hungary was also open to foreign direct investment from Kenya, citing its investment incentives, highly skilled labor force, and access to the European Union market under the Kenya-EU Economic Partnership Agreement.
“There are already Hungarian investments in the field of agriculture, irrigation, and water, and we are looking to widen that sectoral spectrum. We also have a Hungarian business delegation in Nairobi this week that has held successful business forums with Kenyan companies in the areas of agriculture, the water sector, ICT, cybersecurity, smart city solutions, and healthcare technology as well,” Azbej said.
He noted that the trade volume last year was just over 20 million US dollars’ worth on the price side, almost one-third (30 percent) larger than the previous year before, and thus a rapid increase.
By Wangari Ndirangu
