New Delhi: India on Tuesday announced a $250 million line of credit to Kenya for modernisation of its agricultural sector as Prime Minister Narendra Modi and Kenyan President William Samoei Ruto agreed to shore up bilateral ties in areas of defence, trade, energy, digital public infrastructure and healthcare. Following the Modi-Ruto talks, the two sides signed five pacts providing for cooperation in a range of areas including sports, education and digital solution, and unveiled a joint vision document to scale up maritime engagement in the Indian Ocean region.
The Kenyan side offered, in line with Kenyan laws, to provide land to Indian companies and institutions for cultivation of crops, including millets.
In order to enhance bilateral economic engagement as well as to finance projects under development partnership, the two leaders also discussed the need to use local currencies for trade.
In his media statement, Modi said India has been a "reliable and committed" development partner for Kenya and that New Delhi is fully prepared to share its achievements in digital public infrastructure with the east African nation.
"As two agrarian economies, we agreed to share our experiences. We have also decided to provide a Line of Credit (LoC) of $250 million to modernise Kenya's agricultural sector," he said. At a media briefing, Dammu Ravi, secretary (economic relations) in the Ministry of External Affairs, said the Kenyan side offered land for farming by Indian companies under a cooperative model besides showing interest in India's payment system UPI (Unified Payments Interface).
A joint statement said "Kenya offered, in line with Kenyan laws, to provide land to Indian companies and institutions for cultivation of crops, including millets, in Kenya."
"The government of India undertook to encourage Indian companies for investment in the sector, including in equipment and technology on mutually agreed terms. Both sides noted that enhancing bilateral agricultural cooperation would increase bilateral trade and contribute to food security in Kenya," it said.
In his media statement, the prime minister said India and Kenya are "unanimous" that terrorism is the most serious challenge facing humanity and both sides have decided to increase counter-terror cooperation.
"Africa has always been given a high priority position in India's foreign policy. Over the last decade or so, we have increased our cooperation with Africa in mission mode," Modi said.
"Today, we decided to strengthen our cooperation in all fields, laying the foundation for a progressive future. And also identified many new initiatives," he said. The prime minister said both sides also deliberated on defence cooperation and emphasised on military exercises, capacity building as well as linking the defence industries of both the countries.
He said close cooperation between Kenya and India will strengthen "all our efforts in the Indo-Pacific".
The prime minister said approximately 80,000 people of Indian origin in Kenya, who consider that country as their second home, are the "biggest strength" of the ties.