India can participate in Kenya’s Vision 2030

Apr 05, 2024

Kenya is the largest market in East Africa and a leading Financial and Technology Hub. India is one of the top investors in this country and at least 200 Indian companies are operating across pharmaceuticals, telecom, IT, banking and other sectors. WTC Mumbai organised a Luncheon meeting with Dr. Rutto K. Erick, President, Kenya National Chamber of Commerce and Industry to discuss emerging areas of economic collaboration between both the countries.

Speaking on this occasion, Dr. Eric remarked, “We invite Indian industry to participate in Kenya Vision 2030 to transform the country into a middle income rapidly industrializing economy.  Kenya is a safe place for foreign investors and Indians have been doing business in the country for more than 120 years. Indian industry can invest in apparel, clothing, mining, IT & BPO, agro-processing, renewable energy in Kenya by availing incentives under its National Industrialisation Policy 2012-2030. Under this policy, Indian investors can avail tax holiday for 10 years, following which there will be 15% tax for next 10 years and 30% tax in the subsequent years for investment in Special Economic Zones and Export Processing Zones. There is no tax or policy restriction on foreign investors for repatriating dividend, profit or interest from their investment.”

Specifically, he invited Indian industry to explore public private partnership (PPP) projects in infrastructure sectors such as water, solar energy, wind energy, hydro-power, geothermal, ports, roads, railways and so on.

Kenya is leading in renewable energy as 92% of its grid is powered by green energy and it plans to increase further the renewable energy capacity in the country, he added. “In the next decade, Kenya will invest at least USD 4 billion in infrastructure sector. We want Indian companies to participate in this opportunity.”

India can also explore business in agriculture and food processing sectors where Kenya is largely import dependent.

Dr. Erick emphasized mining's value addition prospects, citing opportunities in processing copper, quartz, mica, manganese, and chromite. Indian companies can contribute technology and expertise to enhance these processes in Kenya.

Dr. Erick hinted at partnership opportunities in the digital sector and especially in the fintech sector, where Kenya is leading in mobile payments.

Dr. Vijay Kalantri, Chairman, WTC Mumbai remarked, “Kenya is the second largest trade partner of India in East Africa and we need to strengthen this commercial relation by a signing free trade agreement.”

Dr. Kalantri suggested Indian companies to consider Kenya as the gateway to the East Africa and also to the entire Africa.

In tourism, India is also the fifth-largest source of inbound tourists for Kenya while India is a preferred destination for medical tourism by Kenyan citizens with significant numbers seeking medical treatment in India, Dr. Kalantri informed.

During the event, WTC Mumbai signed an MoU with Kenya National Chamber of Commerce and Industry (KNCCI) to promote trade, investment, tourism, education and technology exchange.

In Photo: Dr. Rutto K. Erick, President, Kenya National Chamber of Commerce and Industry (2nd from right) exchanging MoU with Dr. Vijay Kalantri, Chairman, WTC Mumbai (3rd from right). Also seen in the photograph are: (from left to right): Ms. Rupa Naik, Executive Director, WTC Mumbai; Mr. Ramavtar Goenka, Honorary Consul, Honorary Consulate of Kenya in Mumbai and Capt. Somesh Batra, Vice Chairman, WTC Mumbai