Investors say regulations, costs key to Kenya opportunities

The regulatory environment and the cost of doing business are the two main factors that guide investor decisions about Kenya, participants at a just-concluded international forum in Nairobi said.

The Swiss-African Business Circle (SABC), an association which promotes trade between Switzerland and the continent, said yesterday that Swiss firms are seeking assurance of low operational costs for their businesses to scale.

The lobby, which represents about 100 Swiss firms, was one of the outfits at the two-day Kenya International Investment Conference (KIIC), which attracted businesses from 17 nations globally.

“We’re going to share our findings with the business community in Switzerland. Besides existing opportunities, most firms are interested in the regulatory framework and operational costs,” SABC managing director Thomas Seghezzi told the Business Daily at the closing of the conference on Thursday.

President Uhuru Kenyatta, while opening the conference on Wednesday, directed related agencies and ministries to fast-track setting up of a one-stop centre that will cut delays in processing approvals and permits for investors.

READ: Kenya to mimic Huduma one-stop service centres for foreign investors.

He also told participants about the headway made in tapping into cheaper geothermal energy, which has resulted in falling electricity power bills.

The conference attracted about 1,400 local and foreign investors, according to the Kenya Investment Authority (KenInvest) – one of the organisers.

It was aimed at selling Kenya as an investment destination in areas such as manufacturing, tourism and hospitality, mining, energy, oil and gas as well as ICT and agribusiness.

Foreign attendees came from the United States, United Kingdom, China, Japan, Germany, Nigeria, Netherlands, Belgium, Poland, Italy and Egypt.

Others are India, South Korea, Cameroon, Sudan and United Arab Emirates.

Yoshikazu Matsumoto, the managing director of Japanese automobile firm Excia East Africa Ltd shared plans to venture into counties outside Nairobi where it set shop five years ago.

“We see a lot of opportunities in the counties,” he said.

Some 35 counties showcased their products to potential investors in the areas of agri-business, tourism, manufacturing and extractive industries.

Some of the issues that emerged during the event include the need for the State to establish centres of excellence in health and innovation plus investment in research and development.

The conference was organised by the Ministry of East African Affairs and Tourism, KenInvest, the Kenya National Chamber of Commerce and Kenya Private Sector Alliance.