NAIROBI (Xinhua) -- The
Kenyan government on Monday signed an agreement with the
Seychelles to phase out double taxation on companies from the
Kenya’s Cabinet Secretary for Treasury Henry Rotich said the
elimination of double taxation will promote flow of investments,
trade and labor between the two countries.
has cordial relations with
that dates back to post independence era. We have many areas of
cooperation ranging from tourism, fisheries and maritime
told journalists after signing the deal in
He said the
new agreement to phase out double taxation on Kenyan and the
firms is part of a long-term bilateral cooperation.
firms that have invested in
will be exempt from two way taxation. Likewise, a Kenyan company
that has invested in
will only be taxed profits made there,” Rotich said.
African nation had previously signed agreements to eliminate
double taxation with several trading partners including
and Saudi Arabia.
stressed that removal of double taxation is embedded within
regional trade blocs.
double taxation will incentivise companies to invest overseas
and promote balance of trade. These agreements will strengthen
cooperation in all areas of mutual interest,” Rotich said.
He added that
there is political commitment in
to phase out double taxation with the traditional and new
have established solid partnership that has benefited both
Minister for Foreign Affairs, Jean Paul Adam noted that his
as a strategic partner in diverse fields like tourism, aviation,
agriculture and fisheries.
have a natural partnership. We believe Kenya
has great potential that can be tapped to develop our
economy,” Adam told journalists.
He added that
government has borrowed best practices from
on the establishment of free trade zones.
Adam emphasized that
elimination of double taxation will promote a two way foreign
has huge potential for business. Removal of double taxation will
allow the two countries‘ private sector to flourish,” Adam
has signed an agreement with
to remove double taxation.
Currently, the balance of trade
is skewed in favor of the Island Nation.
Kenya’s Cabinet Secretary for Foreign Affairs and International
Trade Amina Mohammed revealed that the government is addressing
this trade imbalance through a raft of incentives.
’s total exports to Seychelles
stood at 2 million U.S. dollars while total imports from the
country stood at 4 million dollars. The balance of trade at the
moment is in Seychelles
favor,” Mohammed told Xinhua.
exports agricultural, medical products and labor to Seychelles
and imports fish products from the island nation.
noted that the two countries have explored strategic areas of
cooperation including aviation, tourism and fisheries sector.
“There is a
significant number of Kenyans working in
as English teachers. Likewise,
to shop or meet their relatives,” said Mohammed.