Investment opportunities in Kenya
Kenya remains one
of the most attractive investment destinations on the African continent
with a friendly investment ambiance both to local and foreign investors.
With diverse climatic and landscape variations across the nation, Kenya
is suitable for agricultural and tourism activities throughout the year.
policies provide adequate incentives to encourage foreign investors.
There is a stable currency, no exchange controls, low underlying
inflation and a highly simplified tariff structure and customs
to the sea
Kenya borders the Indian Ocean and has 13,400 sq km of water. Located on
Kenya's eastern coastline on the edge of the Indian Ocean, is the
deep-sea port of Mombasa.
This is one of
the oldest cities in East Africa and a natural gateway that serves a
wide hinterland that includes countries in the Great Lakes region like
Uganda, Tanzania, Rwanda, Burundi, Southern Sudan and Eastern DRC.
There are excellent international air transport links through the Jomo
Kenyatta International Airport-Nairobi, Moi International
Airport-Mombasa and Eldoret International Airport-Eldoret. With its fast
growing airlines led by the national carrier Kenya Airways, Kenya has
become the hub of air transport in the region.
airports provide direct links to all parts of Africa in addition to all
major cities in America, Europe and Asia. The overall transport network
makes the country an excellent production base for a prospective
investor, particularly for exports. It is noteworthy that Kenya has
fully embraced regional integration and the multilateral trading system
as a framework for achieving development objectives.
A major highlight of Kenya’s colonial history is the Kenya-Uganda
Railway built from Mombasa in 1896 and reaching Kisumu after 930 km of
track in 1901. At inception it was considered unrealistic and was dubbed
"the Lunatic Line" by its detractors. On completion however it turned
out to be a huge logistical achievement and became strategically and
economically vital in the Great Lakes region. As of 2006 much of the
overall railway system had been neglected.
The Kenya Railway
was running deficit operations necessitating plans to privatize and
revitalize the system.
In 2005 Rift Valley Railways Consortium (RVRC) from South Africa,
established to manage the parastatal railways of Kenya and Uganda won
the concession. The operational take-over by RVRC took place on November
1, 2006 and is scheduled to last for 25 years. Today RVRC offers both
cargo and passenger services although freight services are the bulk of
RVRC's operations. Plans are also being effected to increase efficiency
in services delivery, and in the long term to commence services to
The country has a relatively strong industrial base with the
manufacturing sector accounting for 13.2 per cent of the Gross Domestic
manufactured products have access to several large insatiable export
markets such as the East African Community, COMESA, the European Union,
the USA and the Far East.