Home Business Challenges remain despite Abiy and Ruto boosting trade and diplomatic ties

Challenges remain despite Abiy and Ruto boosting trade and diplomatic ties

Challenges remain despite Abiy and Ruto boosting trade and diplomatic ties

By Africa Links 24
Published on 2024-03-08 15:02:02

Ethiopia Prime Minister Abiy Ahmed’s visit to Kenya’s capital Nairobi on February 28 marked a potential turning point in the relationship between the two East African countries. Despite past tensions over issues such as the civil conflict in Tigray, border disputes, and Ethiopia’s port development in Somaliland, the meeting between Abiy and Kenyan President William Ruto seemed to signal a desire for improved ties.

According to Murithi Mutiga from the International Crisis Group (ICG), the rivalry between Kenya and Ethiopia has historically been driven by a struggle for regional leadership. Both Abiy and Ruto, being young and ambitious leaders, have been seen as key players in shaping the geopolitics and economics of the region.

During Abiy’s visit, several agreements were signed to deepen economic cooperation between the two countries. The Joint Ministerial Commission Meeting, which had been inactive for seven years, was revived, and commitments were made to collaboration in agriculture, transport, and ICT. Additionally, agreements focusing on cultural development, tourism, wildlife conservation, and the blue economy were inked. Trade between Kenya and Ethiopia has been steadily increasing, with a total volume reaching $501 million in 2023.

Despite economic progress, regional security and diplomatic challenges persist. Kenya played a crucial role in mediating peace talks between the Ethiopian government and the Tigray People’s Liberation Front, establishing it as a key diplomatic player in the region. However, as Ethiopia’s internal conflicts have escalated, Kenya has faced new responsibilities as a peacemaker, potentially impacting its economic interests.

Abiy praised Ruto for his efforts in maintaining peace and security in the region, emphasizing the importance of stability for economic growth. The recent controversy surrounding Ethiopia’s port deal with Somaliland has raised concerns in both Kenya and Somalia, with Ruto reportedly engaging in back-channel diplomacy to ease tensions.

Moving forward, unresolved issues such as the border dispute in Moyale and disagreements over water management remain potential roadblocks to the partnership between Kenya and Ethiopia. Both countries have mutual interests in projects like the trading system linking Ethiopia to the Kenyan port of Lamu, which could benefit Ethiopia’s access to the sea.

While the friendly embrace between Abiy and Ruto symbolizes a willingness to cooperate, the true test will lie in how effectively they address existing challenges and work towards shared goals. As regional dynamics continue to evolve, both leaders will need to navigate complex issues to ensure a stable and mutually beneficial relationship between their countries.

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