Ethiopia, Kenya sign Simplified Trade Border Regime to ease cross border trade 

Borkena

Toronto – Ethiopia and Kenya this week signed agreement on ” Simplified Trade Border Regime” (STBR) 

According to Ethiopia’s Ministry of Foreign Affairs, the agreement is intended to enhance cross-border trade between the two neighboring countries. 

Kassauhun Gofe, Minister for Trade and Regional Integration, and  Kenya’s Cabinet Secretary for Investments, Trade, and Industry, Lee Kinyanjui, signed the agreement in the Ethiopian capital Addis Ababa. 

In April 2025, there was a meeting organized in Kenya’s resort city Mombasa. Understanding for the need to enhance the cross border trade was reached during this meeting, and the agreement today is a follow up from that meeting, based on the news release from the ministry. 

“The accord will simplify and facilitate the small-scale cross-border trade and create favourable conditions for sustainable, harmonious, and healthy development of the formal border trade to further strengthen and expand trade relations between the two countries,” Ethiopia’s Ministry of Foreign Affairs said. 

It is anticipated that communities – particularly small scale traders – on both sides of the border will benefit from the agreement as it will be easing red tapes and regulations in the cross border communities.  Custom procedure and paper work requirements will be eased as part of the Simplified Trade Border Regime” (STBR). 

The remarks from the officials of the two countries who signed the agreement are not cited in the Ministry of Foreign Affair’s press release. However, a  Kenyan news source reported that “the two ministers underscored the importance of cross-border trade as a cornerstone for the successful implementation of the African Continental Free Trade Area (AfCFTA).” 

In addition to easing cross-border trades, the Ethiopian government sees relevance in the agreement in terms of border development and security along the border. 

Notably, Abyssinia Luxury Coach, a kenyan company started Nairobi-Addis Ababa bus service (and the other way around) in August this year as air ticket price was soaring. 

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