Are you considering investing in the Eastern African Market? Why not look into Kenya first? She has a rich history, natural resources, and infinite possibilities for her people and those beyond her shores. This magnificent nation has been a thriving hub of business since man learned to master the water. This is aptly represented by her famous city of Mombasa which is woven as a business hub into any fabric of lore.
Kenya’s status as a fulcrum of business hasn’t changed at all. The nation has evolved with modern trends whilst still maintaining its essence. She is an essential piece in maintaining the economic wellbeing of the entire Eastern African sub-region.
The various economic opportunities the nation carries are ones we would encourage you to get involved with. Below are seven of the most viable ones. At this juncture, we will like to remind you of our Facebook page where we constantly share identical content on such topics.
Real Estate
Real estate in Kenya has been in the hands of a few firms for years now. In recent times, more Kenyans have gotten employed in the formal sector. This has given them better economic wherewithal. The propensity of them buying or building homes now overshadows the option to rent.
Investing in Real Estate couldn’t have come at a better time. The government is currently encouraging Public-private partnerships in mega projects such as the Konza city Technopolosis. They are also providing awesome perks for realtors to invest in the development of parks, recreational facilities, and other structures. As stated earlier, there is also a huge market to gain by being a private housing realtor.
Agriculture
There are so many opportunities in the agricultural sector for investors to put their money into. There is the age-old cattle and dairy business. Kenya has been at the forefront of the supply of dairy products in the sub-region. With the right branding and planning, an investor can carve and own a good slice of the national and sub-regional market.
There are opportunities in other subsectors such as fisheries, horticulture, industrial, and food crop production. Kenya has 25% of her GDP, 65% of her total exports, and 18% of her formal employment contributed by the agricultural sector. The possibilities of having viable and profitable investments cannot be overstated. Agriculture actually provides one of the best business opportunities in Kenya for youths. Openings to partner with the government are also available. Notable ones are the Tana Delta Irrigation Sugar Project and the Fish Port Development Project.
Information Technology
The rapid evolution of information technology over the years has seen professionals trying to keep pace with an ever-burgeoning demand. We are currently in the age of social media, apps, smartphones, and software for practically anything and everything. This niche created is even more important in countries like Kenya that are fervently seeking to rub shoulders with her developed peers.
Throw in the fact that you have an ever-growing population that is getting more educated and sophisticated by the day. You have a market ripe for the plucking. This population seeks an efficient and convenient way to go about activities. They yearn for faster and more reliable internet and applications. There is always a need.
Health
People will always seek good health and vitality. As the population shoots up this demand becomes more intense on already existing infrastructure. It is thus of no surprise that the government is seeking the aid of investors to expand medical facilities. One of the noteworthy ones is the 300-bed hospital extension of the Kenyatta National Hospital. Other projects being promoted include equipment lease and the development of an oxygen plant.
There are also viable opportunities and incentives for investors to build private medical facilities. There is the need to build world-class hospitals to serve the pressing specialist needs of the population that they would have to seek outside the country. Also, Kenya is actively seeking to become a manufacturing nation. This implies there is an outlet for the production of medical machinery, tools, and consumables.
Transport
As Kenya expands and its population shoots up, the need for better road networks becomes more pertinent. If you factor in Kenya’s position as a fulcrum of the economic stability of the Eastern Africa bloc, this need becomes more pertinent. The Kenyan government has done a good job with the development of more roads and transportation networks. There is currently a strong emphasis on the promotion of trains for obvious reasons.
Whether you are looking to invest in short-distance transportation, long-distance ones, or go international, you have feasible opportunities. The government even has some excellent joint partnership openings. Notable amongst these are the Nairobi Commuter Rail. There is also the Lamu Port Southern Sudan Ethiopia Transport Corridor Project (LAPSSET).
Manufacturing
Kenya is making a rapid drive to become a manufacturing nation rather than one that is solely a supplier of raw materials. This has created so many opportunities in the value-adding venture. In fact there has been a huge promotion of the development of special economic zones by the government.
Albeit most of the publicity has centered on agriculture, there are other key areas. Currently the government is offering juicy incentives for investors in key projects. This includes the Shimoni cement productions project and the flat glass production project. There are other viable prospects in the automotive industry, fabric production and the iron and steel sector. If you can’t produce on a large scale, have no worries, small and medium scale manufacturing firms are also being encouraged.
Tourism
Tourism is currently Kenya’s third largest contributor to her GDP. With a plproductionatural beauty to explore, thousands of tourists flock into the country annually. This has created an enduring opportunity in the hospitality industry for investors to exploit.
In addition to the avenue of hospitality, there are moves in auxiliary tourist industries being made by the government. These include the creation of resort cities such as the Isiolo resort. Other prominent ones are the branding of premium parks and the building of high-end international hotel chains. The fact that only seven of Kenya’s twenty six parks and game reserves are fully functional, creates a niche for investors to develop the others. Deals can be signed with the government to modernize the others and make them thrive.
These above listed points are guides to help you appreciate the boundless potential Kenya has for investment. You can research further on identical articles on our website and Facebook page. Do kindly remember to follow our Facebook page where you can interact with like minds and discuss frequently updated resources. Share our articles and comment for us to know your thoughts and serve you better.
FAQs
Is Kenya Safe?
Kenya is generally a safe place. Yes! There have been pockets of terrorist attacks over the past few years. These though have been infrequent and this is largely down to the security operatives being on top of their game. Irrespective of this, it is important to be cautious and responsible for your security.
What is the economic philosophy of the Kenyatta government?
Kenya operates a free market system. This in addition to its vantage location and economic position in Eastern Africa has been a major source of attraction to foreign brands. Such a system encourages entrepreneurs to freely invest without any fears of losing their properties to the state.
Are foreigners also given tax breaks? Definitely. Foreigners who invest in certain designated sectors and special governmental projects are given tax breaks. This is obviously a viable move to encourage foreign investment for pressing needs. As a foreign investor, it is important to get clarity on these first.