US, Kenya apparel firms ink Sh7.4bn investment deals
President William Ruto and US Ambassador Meg Whiteman witness as Investment and Trade CS Moses Kuria and Investment Promotion PS Abubakar Hassan Abubakar sign a bilateral agreement with US firm Moderna to build a Sh65 billion mRNA facility, in Nairobi on March 30.
The US government has made six new co-investments with Kenyan and American text companies valued at Sh7.46 billion ($ 55 million) as part of a strategy to boost trade and job creation.
The deals involve six firms including MAS Intimates EPZ Kenya, UAL, Mega, Coast Apparel, Best Lifestyle, and NexGen.
The deals were announced in New York on Tuesday during the kick-off of the 2023 US-Kenya Business Roadshow.
The US made the investments through Prosper Africa—a US government initiative aimed at increasing two-way trade and investment between African nations and Washington.
“Prosper Africa is proud to connect US buyers with African suppliers and drive US investment into Kenya and countries across Africa,” said Prosper Africa Acting Coordinator Scott Cameron. “Together, we are creating jobs and fostering shared prosperity on both sides of the Atlantic.”
Under the investment deal, MAS Intimates will create jobs in the formal sector and provide training for Kenyan workers to increase production of high-quality Kenyan-made apparel while UAL will increase apparel exports to the US market by building a one-stop shop in Kenya that harmonises all steps in the production process from “Farm to Fashion.”
Mega will for its part expand the company’s production capacity by adding new production lines, Coast Apparel will purchase machinery to increase production and export capacity, creating new jobs for women and youth while Best Lifestyle will hire and train new employees by expanding its manufacturing in Kenya.
From the investment, NexGen will set up a factory in Kenya to manufacture tags and labels, branding products in apparel and footwear for sale within and outside Africa.
“The US-Kenya partnership is strong, built on sixty years of shared values and interests. Our partnership has enhanced security, increased prosperity, and improved the lives of Kenyans and Americans, “US Ambassador to Kenya Meg Whitman said.
