Signing of the Japan-Kenya Investment Agreement
1. On August 28, 2016, ‘Agreement between the Government of Japan and the Government of the Republic of Kenya for the Promotion and Protection of Investment’ was signed by Mr. Fumio Kishida, Minister for Foreign Affairs of Japan, and Mr. Henry K. Rotich, Cabinet Secretary for National Treasury of the Republic of Kenya, in Nairobi, Kenya on the occasion of the Sixth Tokyo International Conference on African Development (TICAD VI).
2. This Agreement aims at further protection and promotion of investment between the Contracting Parties. The Agreement stipulates the treatments accorded to investment activities and investments when an investor (an enterprise etc.) of a Contracting Party invests in the other Contracting Party, such as national treatment, most-favoured-nation treatment, fair and equitable treatment, free transfers requirements, conditions for expropriation and compensation and procedures for dispute settlements.
3. Kenya is an economic power in Sub-Saharan Africa, as well as the transportation hub with Mombasa port functions as a gateway to the East Africa region, and attracts a growing number of Japanese companies. In response to the anticipated further promotion of infrastructure projects in Kenya, including those of the energy sector, more Japanese companies are expected to launch their business there. In this regard, the Japanese private sector is strongly requesting the improvement of the investment climate in Kenya.
4. The Contracting Parties will notify each other of the completion of their respective internal legal procedures required for the entry into force of this Agreement (in case of Japan, the Diet approval will be required), and this Agreement will enter into force on the thirtieth day after the date of the receipt of the latter notification.