UAE, Kenya mull double taxation pact to boost trade, investment: envoy

The United Arab Emirates (UAE) and Kenya are considering signing a double taxation agreement to enhance bilateral trade and investment, UAE ambassador to Kenya Abdulrazak Hadi said Wednesday.

Hadi told an investors forum in Nairobi that the agreement will ensure that firms from the UAE and Kenya engaged in bilateral trade are not taxed twice.

"We are currently in high level discussions to sign a tax treaty on the avoidance of double taxation so as to promote investments into Kenya and UAE," Hadi said as he attended a meeting between a UAE business delegation and the Kenyan business community.

The UAE delegation is on a visit to Kenya to look for investment opportunities.

Data from the Kenyan government indicates that UAE is one of Kenya's biggest trading partners. The UAE exports petroleum products, electronics, vehicles, machinery to Kenya while Kenya exports agricultural products to the Gulf nation.

"Kenya is part of the East Africa Community as well as Common Market for Eastern and Southern Africa trading blocs and so is an ideal investment destination to serve the Africa," Hadi said, while describing the UAE as a gateway into the Middle East and Asia for Kenyan businesses.

"Africa will soon have one of the largest middle class of any region who will have huge purchasing power," he said. Endit