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Enabling Business Environment

In order to create an enabling business environment for investors, the Government of Kenya has taken various steps including the following:

  • A new constitutional dispensation is currently being implemented,
  • Nurturing democracy by upholding of the rule of law by promoting a sense of inclusiveness in government policies and decisions, enhancement of national security through judicial and police reforms.
  • Dedication of higher budgetary allocation to the infrastructure sector development including roads, schools and hospitals,
  • The government has divested in non-core Parastatals (State Corperations),
  • To address the issue of climate change, the country is keen on moving to green energy.
  • In order to reduce bureaucracy, a one stop shop has been se up at the Kenya Investment Authority.
  • The government has also established a Public Private Partnership (PPP) Committee chaired by Kenya’s Prime Minister.
  • The government is working to stamp out cases of corruption in the country once for all through the revamping of Kenya Anti Corruption Commission (KACC).

Starting a Business: What you should do

The formal procedures for starting a business in Kenya are to a great extend determined by the type of business one wishes to establish and the sector to which the business belongs.

Investment certificate

As a local investor, it is not a must to have an investment certificate.

One may however apply and obtain an investment certificate from the Kenya Investment Authority (KIA) provided that:

  • The amount to be invested is at least Ksh. 1 million
  • The investment and the activities related to it are lawful and beneficial, i.e. they create employment; lead to acquisition of new skills and technology; transfer of knowledge; contribute to government revenue; lead to use of local raw materials, supplies or services; lead to value addition of local, natural and agricultural resources; increase foreign exchange through export or import substitution and; utilize, promote, develop and implement ICT.

Investment Registration

The Investment Promotion Act (2000) requires that local investors without an Investment Certificate should register with the KIA. All investments should also register their business names with the Registrar of Companies.


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