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India Provides $250 Million Line of Credit to Kenya for Agricultural Modernization

In a significant development, India has extended a $250 million Line of Credit to Kenya for the modernization of its agricultural sector. The announcement was made by Prime Minister Narendra Modi during the visit of Kenyan President William Samoei Ruto, where both countries expressed their commitment to strengthening bilateral ties not only in agricultural but also in defense, counter-terrorism and technology.

Strengthening Agricultural Ties

Prime Minister Modi highlighted the shared agricultural heritage of both nations and announced the Line of Credit to facilitate the modernization of Kenya’s agricultural sector. The funds are intended to support projects aimed at advancing agricultural practices and technologies. The joint statement emphasized the exchange of experiences and the potential for increased partnership in innovation and technology.

Indian Investments in Kenyan Agriculture

The joint statement revealed that Kenya has offered land to Indian companies and institutions for cultivation of crops, including millets. The Indian government has pledged to encourage Indian companies to invest in Kenya’s agriculture sector, providing both equipment and technology. This move is expected to enhance bilateral agricultural cooperation, contributing to increased trade and food security in Kenya.

Digital Public Infrastructure and Renewable Energy Collaboration

Prime Minister Narendra Modi expressed India’s willingness to share its experience in developing Digital Public infrastructure with Kenya. Additionally, Kenya has shown interest in joining the International Solar Alliance and Global Biofuels Alliance, signaling a potential collaboration in the renewable energy sector.

Defense and Counter-Terrorism Cooperation

In a bid to strengthen security ties, both nations announced jointly military exercises and collaboration on counter-terrorism projects. The bilateral cooperation extends to cyber security, anti-money laundering, small arms and light weapons, as well as efforts to combat drugs and human trafficking. The leaders directed the bilateral joint Defense Coordination Committee to convene at an early date to further these initiatives.

The Role of the Indian Community in Kenya

President William Samoei Ruto praised the contribution of the Indian community in Kenya, describing them as a “bridge” between the two countries. He emphasized the long-standing relationship, dating back to the arrival of the first Indians in Kenya in 1911. President Ruto acknowledged the Indians’ role in various fields, including finance, farming and healthcare, noting that in 2017, all Indian nationals in Kenya were granted Kenyan citizenship.

Missing Indians Case

During the official talks, officials discussed the case of two missing Indians, Zulfikar Ahmad Khan and Mohammed Zaid Sami Kidwai, last heard of during the 2022 Presidential election in Kenya. Indian High Commissioner to Nairobi Namgya C. Khampa assured that India is closely monitoring the case and remains engaged with Kenyan authorities on the matter.

Important Questions Related to Exams

Q1. Why did India extend a $250 million Line of Credit to Kenya?

Sol. India extended the Line of Control to support the modernization of Kenya’s agricultural sector.

Q2. Who announced the Line of Credit for the modernization of Kenya’s agricultural sector?

Sol. Prime Minister Narendra Modi announced the Line of Credit during the visit to Kenyan President William Samoei Ruto.

Q3. Which sectors did Prime Minister Narendra Modi emphasize for increased partnership between India and Kenya?

Sol. Prime Minister Modi emphasized increased partnership in agriculture, defense, counter-terrorism and technology.

 

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