Kenya and South Africa Resolved to deepen cooperation in digital innovationFinancial services and investment are two economic powerhouses that want to position themselves at the forefront of Africa's next wave of growth.
Kenyan President addressing the joint South Africa-Kenya Business Forum on Thursday night William Ruto And chairman Cyril Ramaphosa The growing importance of technology, capital markets and cross-border investment in advancing continental integration under the African Continental Free Trade Area (AfCFTA) was highlighted.
Ruto said Kenya and South Africa are uniquely positioned to shape Africa's digital future by combining their respective strengths in financial innovation and capital markets.
“Kenya leads the continent in fintech, mobile money and digital financial inclusion, while South Africa hosts one of Africa’s most sophisticated capital markets,” he said.
“Together, we can create leading partnerships in artificial intelligence, cybersecurity, digital infrastructure, e-commerce and cross-border payments.”
Ruto used the forum to market Nairobi as a leading destination for global business services and business process outsourcing, citing the country's young workforce, competitive operating costs and expanding digital infrastructure.
He invited South African and multinational companies to set up regional service centers in Kenya, describing the country as a strategic gateway to East and Central Africa.
Ruto also underlined the importance of mobilizing long-term capital to support infrastructure, housing, logistics and industrial development across the continent.
He said Kenya is strengthening its position as a financial center through reforms aimed at attracting fund managers, private equity firms, venture capital investors and institutional capital.
“With Nairobi’s growing stature as a regional financial centre, we can deepen African capital formation and bring investment decisions closer to the markets that need them,” he said.
Ramaphosa echoed those sentiments, noting that access to capital will be critical in unlocking the industrialization and infrastructure development opportunities identified during the business forum.
He said discussions among business leaders revealed how equity, debt and patient capital can help finance business-enabling infrastructure and accelerate economic transformation.
“The Finance and Innovation Panel has set out how capital in its various forms can finance the technology and trade-facilitating infrastructure we need,” Ramaphosa said.
South African development finance institutions are already active in Kenya, including financing a major petroleum pipeline linking Mombasa and Nairobi. Ramaphosa said these institutions were keen to increase support for catalytic infrastructure projects.
He also pointed to the growing importance of digital trade and emerging technologies in strengthening economic ties between the two countries.
He revealed that officials were updating bilateral information and communications technology agreements to reflect rapid technological advances, including industrial innovation, technology transfer, digital trade and artificial intelligence.
“We are facilitating trade by enabling physical and digital infrastructure,” Ramaphosa said.
The forum highlighted the growing commercial relations between the two countries. According to Ruto, more than 60 South African companies currently operate in Kenya in sectors including banking, telecommunications, manufacturing, infrastructure and retail.
Meanwhile, South African investments in Kenya exceed $2 billion, while Kenyan companies have invested about $283 million in South Africa.
The two leaders emphasized that Africa's future development will depend on moving beyond traditional trade patterns towards integrated value chains, digital connectivity and innovation-driven industries.
Ramaphosa said relations between the two countries have evolved from merely trading goods to jointly building industries and creating shared opportunities.
“We have moved beyond what we can sell to each other and toward what we can create with each other,” he said.
Calling for greater collaboration between governments, investors and entrepreneurs, the two Presidents urged business leaders to translate discussions into concrete investments and partnerships that will accelerate Africa's digital transformation and economic growth.
business report