The Republic of Kenya is in East Africa and neighbors Ethiopia, Somalia, Tanzania, Uganda, Sudan.
Size:582,646 sq. kms.
Capital city Nairobi
Population: 43.18 million
GDP: 89.00 USD Billion
Kenya is a member of UN, AU, EAC, COMESA, ACP, Non-Aligned Movement, and WTO among others. It hosts headquarters of UNEP and Habitat.
Kenya is also a regional headquarters for numerous international and NGO Agencies. It also hosts regional offices of World Bank, IMF, IFC, WHO, UNDP, UNHCR, UNESCO, East African Development Bank, Eastern and Southern African Trade and Development Bank (PTA Bank) among others.
For a foreign investor to qualify for an investment certificate, the minimum value of his proposed investment should be USD 150,000.
In deciding whether to issue an investment certificate, KenInvest considers the extent to which the investment will contribute to the Kenyan economy by increasing the number and quality of jobs in Kenya.
Training Kenyans in new skills or technology, encouraging economic development, allowing the transfer of technology, adding to tax revenue or affecting foreign exchange.
The Registrar of Companies is responsible for business registrations in Kenya. He/she issues certificates of compliance for foreign companies, certificates of incorporation for local companies and certificates of registration for sole proprietorships and partnerships.
If all documents have been submitted correctly, the certificate of incorporation will be issued within 5days.
Firms must then obtain registration with National Social Security Fund (NSSF), National Hospital Insurance Fund (NHIF) and the Kenya Revenue Authority (KRA) .
Documents required for an investment certificate
You will need to submit the application forms together with copies of:
Certificate of Incorporation,
Memorandum and Articles of Association
Issuance of The Investment Certificate from KenInvest upon conforming to Health, Environment and Security requirements.
Therefore, if an investor does not have an entry permit or if environmental impact assessment is required, these will need to be obtained before the KIA approves the investment certificate.
Why invest in Kenya ?
Kenya is the largest economy in East Africa with a strong growth prospective and a faster growing middle class,
Kenya is one of the most attractive FDI destinations in Africa.
Strategic geographic location the country has a port which is busy throughout the year.
Reduced costs of energy and improving availability of energy around the country.
Large presence of multinational companies choosing the country to establish there headquarters.
Well established private sector
Wide market access . Kenya is a member of different economic organisations such as COMESA, EAC and SADC.
Political stability and favorable investment policies .
Investment sectors in Kenya.
Agriculture sector ; innovative commercial oriented modern farming, fishing and livestock.
Manufacturing, whole sale and retail. Kenya is among the countries with a diversified and competitive manufacturing sector.
Oil and minerals Kenya is blessed with a variant of minerals and potential mines which need to be exploited.
Financial sector consists of banking, capital markets and insurance.
Tourism sector. Kenya is one of the top tourist destination in East Africa with top 10 long haul destinations offering high –end diverse and distinctive visitors experience.
Investment Incentives in Kenya.
Kenya guarantees capital repatriation and remittance of dividends and interest to foreign investors, who are free to convert and repatriate profits.
Private enterprises, both foreign and domestic, can freely establish, acquire, and dispose of business enterprises according to the Companies Act.
The Constitution of Kenya provides protection against the expropriation of private property. Only permitted subject to the payment of prompt and fair compensation.
Opportunities for Investors
Source. Kenya investment Authority.
Labor is quite available in Kenya and relatively cheap. Salary and wages depend from the skills the employees got.
Average Monthly salary 200-500USD
Average wages 80$-100$
Cost of living
Summary about cost of living in Nairobi:
Four-person family monthly costs: 1948 USD (202,662.25KSh) without rent .
A single person monthly costs: 489 USD without rent.
Cost of living index in Nairobi is 46.87% lower than in London.
Cost of living rank 244th out of 383 cities in the world.
Nairobi has a cost of living index of 42.69.
Electricity provision is focused on urban areas and relatively low in rural areas. Current total installed electricity generating capacity is 1,720 MW. However, electricity generation depends significantly on hydro-electric power.
Price for industries and commercial users
|450 Volts||KES||5.75 /Unit||Fixed Charge= KES 800, Demand charge per KVA= KES 600|
|11,000 Volts||KES||4.75 /Unit||Fixed Charge= KES 2500, Demand charge per KVA= KES 400|
|33,000 Volts||KES||4.49 /Unit||Fixed Charge= KES 2900, Demand charge per KVA= KES 200|
|66,000 Volts||KES||4.25 /Unit||Fixed Charge= KES 4200, Demand charge per KVA= KES 170|
|132,000 Volts||KES||4.10 /Unit||Fixed Charge= KES 11,000, Demand charge per KVA= KES 170|
Water is provided at the following average rate.
Water USD 0.62 1 m3 industrial consumption
Internet USD48 6 Mbps, Unlimited Data, Cable/ADSL
Below are average prices of transport in Kenya. The prices indicated will vary from the actual prices on the ground and are to be used only as an indicator
Freight transport USD 1400 40′ container from Mombasa port to main commercial city(Nairobi)
Indicative rental costs are displayed below. The charges are exclusive of service charge and tax.
|Office space||USD||3.20 – 3.0||In main commercial city, per m² per month|
|Warehouse||USD||1.9 – 2.5||7.5 km from main commercial city, per m² per month|
|Furnished expatriate house||USD||2000 – 4000||3-bedroom with garden, in main commercial city, per month|
|Unfurnished expatriate house||USD||1000 – 2000||3-bedroom with garden, in main commercial city, per month|
Protection from expropriation
The Constitution of Kenya guarantees protection of private property. At the same time, the Foreign Investment Protection Act guarantees against expropriation of private property by government.
However, private property may be expropriated where it is in the public interest and where due process is followed. In such cases adequate and prompt compensation must be provided. This is detailed in the Land Act.
Some Multinational brands in Kenya