The Kenya International Freight and Warehousing Association (KIFWA) has signed a landmark $80 million (Ksh. 12 billion) partnership with Capital Pay International Limited to develop a Centralized Clearing and Forwarding Management System (CCFMS).
The 20-year agreement is a core pillar of KIFWA’s 2025–2030 Strategic Plan and is meant to digitize Kenya’s entire logistics sector.
The CCFMS aims to create a single, unified digital platform that integrates all key trade stakeholders. They include the Kenya Revenue Authority (KRA), Kenya Ports Authority (KPA), KenTrade, logistics providers, and cargo owners. This ecosystem is designed to enhance efficiency, transparency, and accountability across the supply chain, directly supporting Kenya’s Vision 2030 goals and the objectives of the African Continental Free Trade Area (AfCFTA).
“This partnership is a bold step toward a smarter, more efficient logistics ecosystem,” said Mr. Fredrick Aloo, National Chair KIFWA. “Digitization is central to our strategic vision, not only to speed up clearance processes but also to ensure professionalism, accountability, and compliance throughout the supply chain.”
The partnership includes a total investment of $80 million (Ksh. 12 billion), with an initial $10 million dedicated to system design and deployment. The remaining $70 million will fund long-term operationalization and maintenance over the 20-year term.
The CCFMS will be rolled out in phases over 24 months, starting with design and pilot testing. Upon national implementation, it will include modules for:
- Agent licensing and compliance tracking
- Real-time cargo monitoring
- Dispute resolution
- Continuous professional training for over 1,200 licensed clearing agents
Mr. Garang Mayom Malek, CEO of Capital Pay International, noted, “This collaboration merges fintech innovation with logistics modernization. By digitizing key trade processes, we can reduce inefficiencies, promote compliance, and unlock new growth opportunities for Kenyan businesses engaged in regional and global trade.”
The development is benchmarked against successful international systems in the Netherlands, Germany, and Rwanda, positioning Kenya to meet global trade facilitation standards set by the World Trade Organization (WTO) and the AfCFTA framework.
“Our focus is transformation through collaboration,” added Mr. Aloo. “By working with Capital Pay, we’re not only modernizing systems, but we’re also building the digital backbone of Kenya’s logistics future.”