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1Kenya Business Forum: Seoul Korea 7th June 2012

Trade and InvestmentOpportunities in Kenya-Gateway to unleashing your

potential in Africa

By Julius Korir

Managing Director

Kenya Investment Authority


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Contents

1. Introduction

2. Profitable Kenya

3. Kenya Your Business Partner

4. Business Friendly Environment

5. Useful Contacts


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Leveraging historic relationship with

Africa for Investment and Trade. Kenya

is the largest horticultural produce

exporter to EU

EUROPE

Providing Technical and ..guidance for

Security Agencies thus supporting security

in the Region with the hope to increaseaccess to Africas growing market and

resources.

USA

CHINA

Improving Diplomatic relations between

China and Africa and leveraging positive

sentiments toward china to access the

market and Natiural Resources.

Concentrate markets focusing on a few hub

countriesin order to efficiently supply

growing demand for consumer goods (ie.

Cars, and electronics) and utilizing thehub countries as a springboard for

greater penetration in Africa. Kenya is a

hub country

JAPAN

Africa the New Frontier


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Kenya at a GlancePopulation

40.5 million (2010 est.)with population growthrate of 2.67 percent

Political SystemUnitary State with

Multiparty Democracy

GDP per capita

US$ 794

LanguagesSwahili and English areofficial languages.

ClimateKenya lies on both sides ofthe equator and enjoys avaried climate ranging fromtropical to temperate

Currency

KES 83 : US$ 1

(February2012)

Area

582,646 km2

GDP at current US$

US$ 32.2 billion


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Unique Kenya

Home to the 1st African woman to get a NobelPeace Prize (Hon. Wangari Maathai).

Leading exporter of horticultural products

Home to 7th new Wonder of World,Wildebeest Migration

Hosts the only UN head office in

the developing world.

Highest concentration of Olympiansin the world

Lead innovator in mobile commerceesp award winning m-pesa service


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Profitable

Kenya


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Ideal Hub to do Business in East Africa

Population 138 Million

Kenya is the Economic

Powerhouse of East Africa

Nairobi Financial Hub of the

Region Jomo Kenyatta International

Airport functions as an effective

Airhub between Africa, Europe

and Asia

Mombasa provides Sea Access toUganda, Rwanda Burundi and

South Sudan


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Ideal Hub to do Business in the Common Market for

Eastern and Southern Africa- COMESA

Member

Countries: 20

Population: 444Million

Total GDP USD360

Billion


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Agriculture

Conducive climate, abundant labour,active government support, and accessto international markets are beneficialfor agricultural development.

Fruit and vegetables:

Exports at US$ 490 million in 2010.

Vegetables: eg fresh beans, fresh

peas Fruit: mangoes and avocado.

Cut flower

Exports at US$670 million in 2010.

Roses, carnations, statice,alstromeria, lilies and hypericum.

25% of EU imports.

Supported by cold storage facilitiesand cargo flight capacity the mainstay of oureconomy


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Tourism

Kenya is naturally endowed in:-

Wildlife

Pleasant climate

Beautiful scenery

Sandy beaches

Sportsmen &women

Opportunities in :-

Accommodationprovision

Recreation and

Entertainment

home of the 7th wonder of the world
http://www.ichotelsgroup.com/h/d/ic/1/en/homehttp://www1.hilton.com/en_US/hi/index.do;jsessionid=EEBCB1445999A622213B4D05BCE6DC91.etc14


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I.T. Enabled Services

I.T. enabled services Call centers for both in-

bound and outbound calls

Wide range of business

outsourcing services Mobile Software

Development

Education and Training

ICT Parks

Development ofBroadband infrastructure


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Manufacturing for the Regional Market

Kenya is a prime supplier of basic goodsto the eastern and central Africanmarkets before moving into themanufacture of niche products forother markets.

Kenya is home to a number ofmultinational corporations regional

corporate and manufacturing headquarters including

Coca Cola

Wrigleys

General Electric

General Motors GlaxoSmithKline


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Wholesale & Retail

Supply chain:

Drive efficiencies through

development of producer

business groups and

large

wholesale hubs

Semi-formal retail:

Retail markets to locate

informal players and help

them grow

Formal retail:

Attract and develop largeformal retail chain through JVs &

standalone ventures

(domestic and international )

established distribution channels


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Financial Services

A well developed financialsector:

49 Commercial banks

4 Non-Bank Fin.Institutions

2 Mortgage financecompanies

4 Building societies

11 Insurance companies

3 Reinsurancecompanies

6 Development FinanceInstitutions (DFIs)

support trade


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Energy

Geothermal Estimated potential of 4,000 to 7,000MW

and only 165MW has been developed.More investments required.

Wind power

Plenty of potential to generate electricity

using wind powerRural Electrification Program

Construction of 1500 km of 132KV backbone transmission lines to support RuralElectrification Program Liquefied NaturalGas (LNG) Import Handling Terminal

Photo-Voltaic Solar Assembly facility

Bio-fuel production

Geothermal electricity generationat Hells Gate, Naivasha


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Lamu Port and Southern Sudan-Ethiopia

Transport (LAPSSET)Target of over 200,000 housing units per

year

High demand particularly in the urban

areas across the country

Nairobi Metropolitan Mass Rapid TransitProgram

Investments in infrastructure and buses

Rapid rail system

provision of light rail to ease trafficcongestion and improve efficiency oftransportation between the CentralBusiness District and other parts of themetropolitan

Parking system

Investment opportunities exist in theprovision of both space and technology thatcomplements promotion of public transport.

Infrastructure

Transformation of ThikaRoad in Nairobi to a Super

Highway


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Incentives

(100% to 150%) investment allowance

Capital goods are zero rated

Duty exemption and VAT waiver for

machinery and equipment Export Processing Zones programme

(Special Economic Zones)

10 year tax holiday

Exempt from withholding tax andstamp duty


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Kenya: Your

BusinessPartner


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Favourable Geographical Location .

Kenya is the Business Hub of the East & Central Africa


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20

Korean Companies in Kenya


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Business FriendlyEnvironment


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Kenya Vision2030

Plans andimplementation

Vision

Strategy EconomicTo maintain asustained

economic growthof 10% p.a. overthe next 22 years

SocialA just and cohesive

society enjoyingequitable social

development in aclean and secure

environment

PoliticalAn issue-based,people-centered,

result-oriented, andaccountable

democratic politicalsystem

Overall visionA globally competitive andprosperous nation with a high

quality of life by 2030

is the framework for the countrys long term economic, political and social stability


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Getting closer


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Conclusion.

According to the World Bank : Kenya is at the beginning of a major

transformation that will shape its development prospects for decades to

come,Every year, Kenyas population grows by about one million people, who are

healthier, better educated and moving to the cities. With improved urban

infrastructure and connectivity, particularly through the port of Mombasa,

Kenyas new entrepreneurs will increasingly find new paths to prosperity.

Johannes Zutt, World Bank Country Director for Kenya.


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Useful contacts

KENYA INVESTMENT AUTHORITY

P. O. Box 55704 00200,

Nairobi

Tel: +254 20 221401-4

Mobile: +254 0722205 424

+254 0733601184Fax: +254 20 243862

Email: [email protected]

Website:www.investmentkenya.com

EXPORT PROCESSING

ZONES

AUTHORITY

P.O Box 50563, 00200

Nairobi, Kenya

Tel: +254 45 6626421 - 6

Fax:+254 45 6626427

Email:[email protected]

Website:www.epzakenya.com

Kenya has a strong business support framework
mailto:[email protected]://www.investmentkenya.com/mailto:[email protected]://www.epzakenya.com/http://www.epzakenya.com/mailto:[email protected]://www.investmentkenya.com/mailto:[email protected]


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THANK YOU

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