Kenya wants to set up a dispute resolution center for only Chinese companies
There are 400 Chinese companies operating in Kenya with majority having invested in the manufacturing sector.
The Nairobi Centre for International Arbitration (NCIA) has partnered with China to establish a joint arbitration centre to hasten dispute settlements for Chinese firms operating in Kenya.
“We held our first conference (the China Africa Joint Arbitration Centre) in November and we are in the process of harmonising all our rules,” said NCIA chief executive Lawrence Ngugi told a local business daily in an interview.
The China Africa Joint Arbitration Centre, the second of its kind in Africa, will be designed to offer dispute resolution involving Chinese firms and companies from other countries that happen in East and Central Africa.
The NCIA argues the partnership will go a long way in making Kenya a favourable destination for investors by providing an alternative form of dispute resolution which is faster and cost effective.
There are over 10,000 Chinese firms operating in Africa as of 2017, according to McKinsey Africa.
There are 400 Chinese companies operating in Kenya with majority having invested in the manufacturing sector, according to World Bank Group.
Mr. Ngugi said the move was in line with China’s robust arbitration system which prefers an out-of-court settlement of disputes.
Last Tuesday, the NCIA signed an agreement with Kenya Chinese Chamber of Commerce, signifying its continued strategy to attract Chinese clients.
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