Nakuru County Streamlines Investment Process to Attract U.S. Investors

Nakuru, Kenya – The Nakuru County government is introducing a finance bill aimed at simplifying the investment process by consolidating various permits into a single business permit. Governor Susan Kihika stated that this move is designed to eliminate double taxation and streamline operations, thereby attracting more investment and creating job opportunities for local youth.

According to Kenya News Agency, this initiative is part of the current Finance Bill, which is undergoing public participation. The goal is to have the bill passed before the County Assembly’s December recess. She revealed this development in Naivasha during a meeting with U.S. investors interested in various sectors within the county.

Kihika highlighted that investors have expressed interest in sectors such as pyrethrum, potato farming, dairy, health, apparel, and digital space. In the apparel sector, Indian companies have shown eagerness to invest, potentially creating over 25,000 jobs in the next five years.

The governor also emphasized support for local potato farmers, promising minimum guaranteed returns to protect them from exploitative middlemen. Investment companies are prepared to offer farmers lucrative contracts, certified seeds, farm inputs, extension services, and a ready market for their produce.

Investors are looking to capitalize on Export Processing Zones (EPZ) and other Special Economic Zones (SEZs) established by the county for value addition in agriculture. Nakuru’s SEZs, particularly in Egerton and Naivasha, offer low-cost energy solutions and attractive tax incentives. These zones provide graduated corporate taxes and waivers on customs duty for capital goods in several sectors, including manufacturing, agriculture, and ICT.

Kihika mentioned that the county is also developing the potato value chain to address post-harvest losses. Nakuru produces a significant quantity of potatoes, but currently faces a 30% loss post-harvest. This initiative aims to enhance the value chain to reduce these losses.

Additionally, the governor noted that Nakuru’s youth are being equipped with computers to work online for American companies, with plans to expand this program significantly in the next five years.

U.S. Ambassador to Kenya, Margaret ‘Meg’ Whitman, acknowledged the interest of American companies in investing in Nakuru. She indicated that the details of these investments would be finalized and disclosed in the next six months.

Among the notable American investments in Nakuru is Kentegra Biotechnology’s construction of a pyrethrum processing plant. This project, worth approximately 1.4 billion shillings, is expected to create 600 direct jobs and significantly increase pyrethrum processing capacity in the coming years.

Kentegra Biotechnology, which has been instrumental in revitalizing the pyrethrum sector in Kenya, currently operates in over six counties and has contracts with more than 10,000 farmers.