Unlocking UK-Africa trade & investments

The UK Government has announced a significant investment of 140 million pounds aimed at boosting trade with Africa, in a bid to deepen economic co-operation between the UK and the continent. This latest move underlines the UK's commitment to strengthening ties with African nations, with a focus on enhancing trade relations for mutual prosperity. In an exclusive interview with CNBC Africa, Lord Dolar Popat, the UK Trade Envoy to Uganda, DRC & Rwanda, shed light on the key areas where the UK is looking to tap into Rwanda's untapped sectors. Rwanda, being positioned as the gateway for Africa in terms of attracting investors, presents a promising opportunity for both countries. Popat highlighted that Rwanda's welcoming environment, coupled with its high ranking in the ease of doing business in Africa, makes it a standout destination for investment. Key areas of focus for the UK in Rwanda include financial services and agriculture, with a particular emphasis on boosting exports. Popat mentioned that Rwanda's potential in coffee exports, which currently stand at 120 million pounds, could easily be doubled to 250 million with the right support. In addition, the UK is also eyeing opportunities in logistics and mining sectors in Rwanda. Addressing the trade imbalance between the two countries, Popat acknowledged that the UK currently exports more to Rwanda than it imports. However, he emphasized the UK's commitment to balancing this trade relationship in the long run. With the UK's departure from the European Union, Popat noted a shift in focus towards Africa, viewing the continent as a key player in trade and investment. The UK aims to foster prosperity in Africa, understanding that a thriving Africa equates to mutual benefits for both regions. To facilitate trade, the UK has introduced a developing countries' trading scheme, offering tax-free exports to countries like Rwanda and Uganda. This initiative is designed to provide much-needed support to exporters and incentivize trade between the UK and Africa. Popat expressed optimism about the scheme's potential to spur economic growth and create new trade opportunities. Looking towards deeper partnerships, Popat emphasized the importance of regional collaboration within the East African bloc. While acknowledging political challenges in the region, he stressed the significance of peace and stability for fostering trade relations. The UK is actively engaged in promoting dialogue among East African nations to enhance trading activities and drive economic development. Popat lauded the African Continental Free Trade Agreement, in which the UK is investing 140 million pounds to support. This agreement is expected to significantly boost GDP across African countries and elevate the middle-class population. In conclusion, Popat urged African leaders to prioritize political goodwill and collaboration within the region to ensure a unified voice on the global stage. By working together towards common goals, African nations can harness their collective potential for sustainable economic growth and prosperity.