Kenya, Kuwait sign deal organizing investment exchange

Kuwait and the Republic of Kenya signed here on Tuesday two agreements concerning the avoidance of double taxation and the encouragement and reciprocal protection of investments. The agreements were signed on the sidelines of the ongoing Arab-African Economic Forum. Finance Undersecretary of Kuwait, Khalifa Hamadah signed the agreement to avoide double taxation on behalf of Kuwait. The agreement is aimed at removing obstacles hindering capital flow and trade exchange between Kuwait and Kenya. It included several articles concerning privileges of concerned individuals and corporates and government bodies. The agreement also covered maritime and air transport businesses. According to the terms of the deal, the State of Kuwait and its institutions would be exempted from taxes imposed on share profits and interest of loans as result of its investment activities in the Republic of Kenya. The agreement also convered income of employees of diplomatic missions and students in both countries. On the encouragement and reciprocal protection of investments agreement, Hamadah and the Kenyan Secretary of the National Treasury Henry Rotich inked papers of the terms. It stipulated the facilitation of investment presence in both countries and enhancement of economic trade and free movement of capitals. Businessmen would be allowed to issue licenses for their companies and avoide and receive compensations in time of nationalization and confiscations. Arbitration measures were also included in the terms of the agreement in accordance with international laws.