NAIROBI, Nov. 27 (Xinhua) -- The ninth annual meeting of the Africa Economic Zones Organization (AEZO) opened in Nairobi, the capital of Kenya, Wednesday to accelerate industrialization and foreign direct investment (FDI) into the continent.
The three-day meeting was held under the theme "Building Inclusive and Sustainable Economies: The Role of African Special Economic Zones (SEZs) in Attracting Impactful Investments & Redefining Competitiveness," with more than 300 participants, including policymakers, operators, representatives of financial institutions, and United Nations officials, to address the challenges faced by SEZs.
Juma Mukhwana, principal secretary for the State Department of Industry in Kenya's Ministry of Investments, Trade and Industry, said that SEZs are the tool to help Africa expand its industrial base because they are key drivers of manufacturing, job creation and sustainable growth.
"Kenya has recorded economic gains since the establishment of SEZs in 2015 with more than 10 licensed zones spread across the country," Mukhwana noted.
According to him, the zones have attracted more than 100 billion Kenyan shillings (about 772 million U.S. dollars) in both local and foreign investments as well as created 7,000 jobs in the manufacturing sector.
Ahmed Bennis, the secretary general of the AEZO, the umbrella body of economic zones, said that there are currently more than 220 economic zones in Africa comprising free ports, export processing zones and industrial parks across the continent.
Noting that Africa can become an attractive destination for FDI through the harmonization of SEZ regulations and tax incentives, Bennis added the zones can become manufacturing hubs that can benefit from trade liberalization as a result of the African Continental Free Trade Area.
Olufemi Ogunyemi, managing director of Nigeria Export Processing Zones Authority, said that SEZs can help Africa achieve economic transformation through diversification of the industrial base and a shift from export of raw materials to value-added products.
Charles Jackson Itembe, the director general of Tanzania's Export Processing Zone Authority, said that SEZs hold a lot of promise for Africa because they offer facilities that can help the continent improve its industrial competitiveness. ■
