Highlights

Kenya is the leading economy in East Africa. Its strategic location and its well developed business infrastructure make it a natural choice for investors and many international firms have made it their regional hub. Investing in Kenya now also provides access to the larger regional market of the East African Community, which was formed by its three partner states (Kenya, Tanzania and Uganda) in 2000 and which has 93 million consumers. The EAC customs Union came into effect in January 2005 and the EAC is expected to form a political federation by 2013. As a member of the Common Market for Eastern and Southern Africa (COMESA), Kenya also gives investors access to a further 385 million consumers.

But Kenya has much more to offer than its membership of regional trading blocs. Foreign investors routinely refer to people as Kenya´s greatest asset: its workers are among the best educated and most enterprising and hard-working in Africa. The climate and soil in many parts offer ideal conditions for agriculture, as demonstrated by the success story of horticulture and, in particular, floriculture. Kenya also has significant natural assets for attracting tourism, such as the Maasai Mara and the Mombasa coast. Other investment opportunities can be found in manufacturing and infrastructure.

Kenya also offers some serious obstacles to investors. The transport infrastructure is the major obstacle, especially roads, which are in bad shape even by regional standards. Governance and security are other important issues, although the Government has adopted various measures for fighting corruption and controlling crime.