A prominent Chinese council focused on African affairs has commended Kenya’s favorable business climate, highlighting significant improvements in the country’s trade environment.
In its 2024 report on Chinese investments in Africa, the China Africa Business Council (CABC) lauded the efforts of President William Ruto’s administration in enhancing trade relations. The report pointed to several key factors that have facilitated this progress, including preferential access to national bank loans, streamlined access to industrial land, and the expedited processing of work permits for expatriates.
“Kenya, Uganda, and Tanzania are leading in implementing fiscal measures and investment incentives,” the report stated, emphasizing Kenya’s strong support for startups and its initiatives to ease business operations.
From September 4 to 6, Beijing will host the 2024 Forum on China-Africa Cooperation summit, where African leaders, including President Ruto, are expected to engage in discussions about deepening ties. The summit will center on the theme of “jointly advancing modernization and building a high-level China-Africa community with a shared future.”
As part of its tradition, the CABC releases a report that evaluates China’s investments in Africa, where the nation continues to expand its influence through the Belt and Road Initiative. In this year’s report, the council praised several Kenyan initiatives, such as the Presidential Transformation Program “KenNIP,” aimed at simplifying business setup procedures.
The council also recognized Kenya’s revised Investment Code and the implementation of the Startup Bill in 2023, which have played a pivotal role in fostering innovation and supporting new businesses. Additionally, the council noted the 2021 code of conduct for civil servants, which has promoted integrity within the public sector.
“Initiatives like the government’s digitization strategy, launched in June 2024, are enhancing efficiency and transparency by reducing the time required for administrative processes,” the report added.
Moreover, CABC emphasized the importance of industrial parks and special economic zones in attracting investment. It specifically mentioned Kenya’s key zones, such as the Athi River Export Processing Zone (KEPZ) and industrial hubs in Mombasa and Lamu, which are driving the country’s industrialization efforts.
The report also highlighted the Nairobi Aerotropolis project, aimed at creating a major economic hub surrounding a new airport, as a crucial step in boosting Kenya’s economic growth. Supported by robust infrastructure, including reliable electricity, industrial water, road networks, and waste management systems, these parks are enhancing the country’s manufacturing sector.