Ethiopia and Kenya have signed a simplified border trade regime aimed at easing cross-border commerce and supporting small-scale traders, officials from both countries said.
The agreement was signed in Addis Ababa in December 2025 by Ethiopia’s Minister of Trade and Regional Integration Kassahun Gofe and Kenya’s Cabinet Secretary for Investments, Trade and Industry Lee Kinyanjui.
The framework formalizes informal cross-border trade by simplifying customs procedures, setting value thresholds and establishing a common list of eligible goods.
Kenya’s Ministry of Investments, Trade and Industry said the regime focuses on small-scale traders, including women and youth, who make up a significant share of cross-border commerce in border communities.
The ministry said the deal is expected to increase incomes, improve access to essential goods and curb illicit trade.
The agreement follows talks held in Mombasa, Kenya, in April 2025, where officials agreed on the structure of a simplified trade framework.
Officials described the deal as an example of the African Continental Free Trade Area (AfCFTA) being implemented at the community level.
The AfCFTA aims to create a single African market by lowering trade barriers and supporting regional value chains.
Ethiopia and Kenya share one of East Africa’s busiest land borders, with heavy trade in agricultural goods, livestock and consumer products.
