Companies

Nairobi-based MPost off to Kigali for ‘ideal environment’

kigali

Kigali skyline. MPost has announced the relocation of its headquarters to Kigali. PHOTO | SHUTTERSTOCK

Nairobi-based tech startup MPost has announced the relocation of its headquarters to Kigali, in pursuit of what it terms as a favourable business environment offered by Rwandan policies.

The firm, which transforms mobile numbers into virtual post office addresses to promote postal logistics through digital addressing, was incepted in 2016 and runs operations in Kenya, Rwanda and Burundi.

It was not immediately clear whether the firm would completely shut down Kenyan operations as the Business Daily queries went unanswered by the time of going to press.

The company, in a statement, cited the Rwandan government’s commitment to support innovation by providing a conducive environment for tech entrepreneurs as the chief factor that has occasioned the relocation move, adding that the Paul Kagame-led country has emerged as an ideal landscape MPost’s expansion plans.

“This strategic move reveals a significant shift in the company’s operational landscape and aligns with the favourable business environment that Rwanda offers to tech startups,” said the firm.

“This move underscores MPost’s unwavering commitment to innovation and pursuit of an optimal environment to foster sustained growth.

“The government of Rwanda’s commitment to supporting innovation by providing a conducive environment for tech entrepreneurs has played a pivotal role in this strategic relocation.”

The firm‘s founder Twahir Mohamed revealed that Kigali would serve as the launchpad into the rest of Africa, adding that MPost will be seeking to make a contribution to Rwanda’s thriving business community while at the same time leveraging the support and resources available to propel it to new heights.

“The relocation will propel this tech trailblazer to even higher heights as it also contributes to the country’s policy ecosystem in collaboration with the government,” noted Mohamed.

“The company is enthusiastic about tapping into the available skilled and tech-savvy workforce available in Rwanda.”

The move comes at a time local businesses have taken a hit from a new round of freshly introduced taxation regimes under the Kenya Kwanza administration led by President William Ruto.

This year alone, at least six listed firms have issued profit warnings to their shareholders, pointing to heightened deterioration of trading operations in the country.

They include Car & General, Kenya Power, Unga Group, Longhorn Publishers, Bamburi Cement and batteries distributor Eveready East Africa Plc.