Ministry of Investment, Trade and Industry Offers Details on BETA Achievements So Far
The Office of the Deputy Chief of Staff (DCoS), Performance and Delivery Management,today met with the Ministry of Investment, Trade and Industry to discuss significant achievements and Bottom Up Economic transformation Agenda (BETA).
These successes reflect the dedication to economic growth, value chain improvement, and improved manufacturing environment, supporting BETA’s goals of innovation and sustainable development. Key Achievements Aligned with the BETA Agenda County Aggregation and Industrial Parks (CAIPS).
The government is in the process of constructing 19 CAIPS across the country whose main objective is to grow manufacturing and investments through agro-industries.
Trade Through resolving trade barriers, connecting Kenyan exporters to emerging export markets and resolving tariff impositions, the ministry has promoted the increase of exports from KShs 871 billion in 2022 to 1,008 billion in 2024, an increase of 136.9 billion (15% increase) Kenya and EU signed an Economic Partnership Agreement, which secured permanent market access to the 27 country, €18 Trillion European Union export market.
Kenyan goods can now be exported to the EU without tariffs and without restrictions on quantities. Through The Kenya – UAE Economic Partnership Agreemen secured a framework for economic cooperation in infrastructure, agriculture, ICT, and commodities trade sectors.
This EPA also secured favourable procedures for the export of meat, horticulture, flowers, and other items into the $450b UAE economy. Investment Promotion, The FDI Intelligence ranked Kenya as the Number 1 Country in Africa in 2024 with the Greatest Investment Momentum, whereas the Africa Investment Report and Africa Big Deals Report ranked Kenya Number One in Africa in 2023 on Start Up Funding.
The country has attracted increased Foreign Direct Investments (FDIs), which have increased from USD 759 million in 2022 to USD 1,504 million in 2024, an increase of USD 745 million (98% rise). Similarly, Domestic Direct Investments (DDIs) have also increased from KShs 380 billion in 2022 to KShs 480 billion in 2024, representing an increase of KShs 100 billion (26% rise).
Export Processing Zones (EPZs), There has been a deliberate effort by the government to grow the number of EPZs so as to attract FDI, boost exports, and create jobs. There are currently five (5) Flagship EPZs under construction in Uasin Gishu, Nakuru, Muranga, Busia, and Kirinyaga. The EPZs have attracted KShs 150.7 billion in investments up from KShs 125.85 billion in 2022, an increase of KShs 24.85 billion (19.7% rise).
Similarly, enterprises licensed to invest in gazetted EPZs have grown by 29% from 148 in 2022 to 177 in 2024, representing an increase of 20%. Special Economic Zones (SEZs), The Ministry has operationalized 2 public SEZs (Naivasha SEZ and Dongo Kundu SEZ) and 10 private SEZs, all of which are ready for investor entry. The SEZs have consequently attracted an additional USD 55.5 million in investments since 2022, an increase of 5% from USD 585 million in 2022 to USD 640.5 million in 2024.
The number of jobs created by the SEZs has grown by 2,240, an increase of 56% from 3,982 in 2022 to 6,222 in 2024. Enterprises licensed to invest in gazettes SEZs have grown by 36 from 24 in 2022 to 60 in 2024, representing an increase of 150%.
Key Commitments Aligned to The (2024-2025) BETA Agenda. Textile and Apparel Value Chain Development, In order to enhance value addition in the textile and apparel sub sectors, increase production of locally manufactured fabrics and garments and increased exports in the sector, the Ministry commits to developing Cotton, Textile and Apparels Policy Implementation of the Local Content’s Buy Kenya Build Kenya Coordinated The Ministry commits to coordinate implementation of the Buy Kenya Build Kenya initiative by undertaking the following:
● Update and publish the Procurement Master Roll of 2021
● Coordinate and track Procurement of uniforms and shoes for the Disciplined Forces from local manufacturers
● Coordinate and track Procurement of health products and technologies by KEMSA from local manufacturers Enhance E- commerce Trade In order to fully operationalize the E-Commerce Strategy to facilitate achievement of the BETA objectives: The Ministry commits to undertake the following:
● Develop and submit E-commerce Policy to Cabinet for approval
● Develop Digital Services Export Strategy Undertake Kenya National Trading Corporation (KNTC) Turn-around In order to ensure that KNTC plays its right role as a strategic national asset that secures price stabilization of essential food items and consumer goods, the Ministry will provide overall policy direction by developing and implementing a turn-around strategy for KNTC Develop Flagship Export Processing Zones In order to nurture SME exporters with the majority local Kenyan shareholding in the Horticulture/Food Processing, Textile/Apparel, Leather, Commercial Crafts, BPO and ICT sectors, the Ministry commits to undertake the following:
● Complete the development of and operationalization of Four (4) Flagship Export Processing Zones projects as well as the construction of 19 CAIPs,
● Institute 10 Business Reforms to improve the business climate and business Environment,
● Develop County Licenses Procedures regulations and submit to Cabinet for approval,
● De-risk value chains through concessional loans and co-investments
● Review and recast the investor journey structure.
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