Kenya’s foreign direct investment has increased ten-fold from 350 million US-Dollars registered five years ago following the improved business climate in the country.
East African Community and Regional Development Cabinet Secretary, Adan Mohamed said the country has made tremendous progress in improving the country’s business climate as a way of improving the country’s competitiveness in the global market which has borne more fruit following increased domestic and foreign investments in the country.
The improvements in the business environment have seen Kenya ranked position 56 as a better place to do business globally down from position 136 in 2016 out of 190 countries assessed annually.
Mohamed said the government was engaging county governments, the private sector, and development partners to improve the business climate through ensuring relevant and appropriate legal frameworks and policies are in place to address existing impediments that slow down private investments in the country.
He added that the government has put in place business incentives to attract investors including the establishment of industrial parks, export processing zones, special economic zones, and improved infrastructure that will also boost the manufacturing sector that is the main contributor of foreign exchange.
The CS was addressing participants drawn from government MDAs, the private sector, commerce regulators, and international development partners during a workshop on the development of Doing Business Action Plans held in Naivasha Wednesday.
CS Mohamed at the same time assured that the government was keen to legislate on existing challenges afflicting the country’s manufacturing sector including challenges of the high cost of power, cost of infrastructure and labor increased business levies to make the sector more competitive globally.
He challenged the participants to come up with a robust action plan that will bring out proposals to address existing and emerging bottlenecks in doing business and help increase private investment levels that will boost the country to a better business competitive position globally.