The government is intensifying efforts to unlock the full economic potential of the Port of Lamu as part of a broader strategy to position Kenya as the trade and logistics gateway for the Horn of Africa, amid growing investor interest that includes plans by the Dangote Group to establish an oil refinery at the port.

This comes a day after Dangote settled on Lamu as the proposed site for a new refinery. The government has initiated efforts to take advantage of the growing investor confidence to fully unlock Lamu Port.

Writing on X after a meeting with the technical team of the Horn of Africa Initiative on Wednesday, July 8, 2026, the Cabinet Secretary for Trade, Lee Kinyanjui, said Kenya is committed to deepening economic cooperation with neighbouring countries, including Ethiopia, Somalia, Sudan, Djibouti and Eritrea, through enhanced trade, investment and infrastructure development.

“Trade is one of the strongest foundations for regional peace, stability and shared prosperity. Kenya is therefore committed to deepening economic cooperation with our neighbours in the Horn of Africa, including Ethiopia, Somalia, Sudan, Djibouti and Eritrea,” Kinyanjui stated.

The meeting reviewed progress in strengthening regional trade and investment, with discussions focusing on ways to improve transport infrastructure, logistics and trade facilitation across the Horn of Africa.

Lamu Port

Kinyanjui said trade remains one of the strongest foundations for regional peace, stability and shared prosperity, adding that strategic investments are necessary to unlock the region’s untapped economic potential.

He noted that the Port of Lamu and the Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) Corridor are transforming trade by connecting Kenya to Ethiopia and other regional markets while opening up new investment opportunities.

According to the Cabinet Secretary, the changing nature of global supply chains is increasingly positioning Lamu as a preferred transhipment hub, strengthening Kenya’s status as a strategic logistics and investment gateway for Africa.

He pointed to the Dangote Group’s plans to establish an oil refinery at the Port of Lamu as a strong indication of the growing confidence investors have in the region and its long-term economic prospects.

“The growing investor interest in Lamu, including plans by the Dangote Group to establish an oil refinery, further demonstrates the region’s immense economic potential,” Kinyanjui said.

Trade barriers

He added that the government will continue working with regional partners to remove bottlenecks that hinder trade and investment while improving the efficiency of cross-border commerce.

The Cabinet Secretary posed a challenge to the participants to ensure that the upcoming Horn of Africa Trade Ministers’ Meeting, scheduled for September 2–3, 2026, in Ethiopia, produces practical resolutions aimed at eliminating trade barriers, enhancing border efficiency and strengthening regional value chains.

Kinyanjui said such measures would accelerate economic integration across the Horn of Africa and create new opportunities for businesses, manufacturers and investors operating within the region.

The meeting was attended by Principal Secretary for Trade Regina Ombam, while the Horn of Africa Initiative delegation was led by Friederike Hemker, Head of Development Cooperation for Sudan.