Economic diplomacy as a strategy influencing bilateral relations between Kenya and South Sudan (2011-2023)

Abstract

International collaboration through different avenues such as economic diplomacy has been made possible through globalization, boiling down to continental collaborations by the utilization of organisation’s and treaties. After independence, East African countries sought cooperation across economic and political as well as social domains. This study focused on economic diplomacy as a bilateral strategy between Kenya and South Sudan, given their geographical proximity since South Sudan gained its independence in 2011, and the potential benefits derived from such collaboration. Kenya is an outstanding economic hub in the East African region and has consistently used economic diplomacy to actualize and pursue its national interests. The objective examined the nature of bilateral relations between Kenya and South Sudan, identifying key areas that need reforms. The study aimed to illuminate the interaction between the independent variable of economic diplomacy and the dependent variable of bilateral relations. The interdependence liberalism theory and the factor endowment theory provided the theoretical framework. The data was gathered in Nairobi using questionnaires and interviews with 356 respondents, resulting in an 87.1% response rate. The data were analyzed using a mixed-method design and content analysis. The findings indicate that Kenya’s economic diplomacy positively influences bilateral relations with South Sudan, with improvements in investment and trade as well as cultural exchange. Furthermore, the study proved the positive correlation of economic diplomacy aspects of labour movements, goods and service movement and foreign direct investments in the enhancement of bilateral relations. In conclusion, the study determined that economic diplomacy has been a vital influence in improving bilateral relations between these neighbouring countries. Key policy implications recommended prioritizing more permanent solutions to enhance peace and security for a trade-conducive environment, more trade negotiations to increase trade volume and fine-tuning customs policies fostering better goods and services movement. This study shed light on a better understanding of how economic diplomacy moulds bilateral relations, giving a broad insight essential for policymakers seeking to strengthen Kenya and South Sudan engagements. The study recommended that future research explore the broader East African Community regional dynamics and the impact of existing trade policies on economic growth.