The Iranian government will set up a motor vehicle manufacturing plant in Mombasa, President William Ruto has disclosed.

According to President Ruto the plant which will be named 'Kifaru' will offer relief to Kenyan mechanics and other stakeholders in the automotive industry.

Speaking in state House Nairobi on Wednesday State House, Nairobi, alongside Iranian President Ebrahim Raisi, Ruto said this will help create job opportunities to Kenyans.

"His Excellency conveyed to me information that will be good news for stakeholders in our mechanical and automotive sector, including dealers, engineers, technicians and other workers: Iran’s intention to set up a motor vehicle assembly plant in Mombasa to manufacture an indigenous Iranian vehicle that has been given the Kiswahili name – ‘Kifaru’. I am confident that the project is as unstoppable as this name suggests,"  said Ruto.

President Ruto met Raisi at State House Nairobi during which a delegation from the two countries had an opportunity to deliberate on a myriad of issues.

President William Ruto said trade volumes between the two countries are still low but with potential to grow.

He explained that Kenya and Iran will strike a formula that will facilitate higher exports of tea, coffee and meat.

“This will bring about the much-desired trade balance that is in favour of Iran.”

President Raisi lauded Kenya’s commitment to creating a friendly environment for foreign businesses.

He said more Iranian firms will establish operations in the country, paving their way to accessing EAC, COMESA and AfCFTA markets of more than 1.4 billion people.

“The Kenya-Iran relations can always be strengthened for our benefit,” he said during a media briefing.