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Newsunplug Kenya > Blog > Business > Equipment for the Moyale border post upgrading costs Kenya Sh207 million.
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Equipment for the Moyale border post upgrading costs Kenya Sh207 million.

Ivy Irungu
Last updated: October 11, 2024 6:47 pm
Ivy Irungu 8 months ago
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Kenya will receive Sh207 million worth of equipment from the European Union (EU) and the Common Market for Eastern and Southern Africa (Comesa) to upgrade the Moyale One Stop Border Post (OSBP).

The EU and the Comesa secretariat recently handed over part of the equipment valued at 584,262 euros (approximately Sh82.7 million), representing 45 percent of the total procurement under the sub-delegation project. Christine Haziyo, the EU delegation to Zambia and Programme Manager, stated, “The donation of the apparatus will ensure a safe and smart trading experience at the Kenya-Ethiopia border.”

This equipment is part of the Comesa European Development Fund (EDF 11), which includes the EU Trade Facilitation programme funded with 53 million euros (about Sh7.5 billion). Haziyo emphasized, “The EU, in partnership with Comesa, remains dedicated to addressing the specific challenges that stand in the way of full regional integration.”

She made these remarks at the State Department for Trade in Nairobi during a meeting with senior Comesa officials and Trade Principal Secretary Alfred K’Ombudo to review the implementation status of projects under the Comesa EDF 11 Programme in Kenya.

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K’Ombudo confirmed that on May 16, 2023, Kenya and Comesa signed a sub-delegation agreement for the Moyale OSBP upgrade, amounting to 2.34 million euros (Sh331.5 million), which is set to run until December 2024. “The impact of the Comesa European Development Fund (EDF 11) Programme on Kenya’s cross-border trade landscape has been remarkable. I am proud to report that despite being the last Comesa Member State to sign the sub-delegation agreement, we have exceeded expectations and are nearing completion of the initiatives undertaken in record time,” he said.

The PS highlighted that through partnerships, Kenya has also benefited from other programmes, including the Eastern Africa Platform of Non-State Actors in Fisheries and Aquaculture (EARFISH) project and the Simplified Trade Regime under the Small-Scale Cross Border Trade Programme. He added, “We expect that these developments will create a seamless cross-border trading experience at the Kenya-Ethiopia border, particularly for small-scale traders.”

The Comesa EDF 11 Programme focuses on reducing cross-border trade costs through initiatives like the Small-Scale Cross Border Trade Programme and the Trade Facilitation Programme.

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The programme also aims to enhance private sector competitiveness and build capacity for regional integration. Mshuka Kamwela, the European Development Bank Programme Manager seated at the Comesa Secretariat, explained that in May 2023, Comesa signed a sub-delegation agreement with the Kenyan government, amounting to 2.34 million euros (Sh331.5 million), to upgrade the Moyale border post.

Kamwela noted that over the past decade and a half, the Comesa region has made significant strides in trade facilitation, thanks to modernization measures implemented at member state levels. These advancements include increased automation, improved system connectivity and interfacing, and progress in the implementation of National Single Windows.

“We trust that the presented equipment will enhance the capacity of border agencies and relevant government institutions. We also hope that the remaining 55 percent of the procurement will be fast-tracked to ensure the full realization of this project’s goals,” said Kamwela.

She encouraged the receiving authorities to take great care of the equipment, utilize it effectively, and ensure that capacity-building programmes are in place to train relevant personnel on the proper use and management of some of the specialized equipment. Kamwela emphasized that this approach will ensure long-term benefits for border operations and efficient trade facilitation.

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