Investors in Kenya can now take only a day to register their business, file taxes electronically and access both regional and international markets easily, thanks to favourable business reforms and policies initiated by the government and private sector.
These and other factors have seen the country’s ease of doing business improve slightly by a single digit from last year’s 137 to 136 this year, according to the 2015 Ease of Doing Business index report released recently. The government aims to expand power generation capacity by 5,000 megawatts (MW) by 2017, adding to installed capacity of 1,664 MW in a bid to stem high cost of power that has inflated the cost of doing business hence scaring off potential investors.
Speaking during the Kenya International Investment Conference President Uhuru Kenyatta said his government is keen to provide investors with clean and cheap energy.
Kenya, together with other East African states, is championing for one network in the communication sector that will see calling rates lowered. The initiative is good news especially for entrepreneurs in the region who have for a long time been affected by high cross border calling rates that limit their communication window, a key aspect in the business space.
The talk on one network comes barely a few months after successful launch of the East Africa Payment System (EAPS) that has seen the cost of money transfer within East Africa lowered. This platform offers a secure and cheap money transfer mode especially for huge investors in the region.
Other reforms initiated by the government in a bid to woo international investors include opening of capital markets for foreign participation, abolishment of exchange controls, freeing of the Kenya shilling exchange rate to be market driven and removal of price controls.
The President promised the government’s commitment signing a double taxation agreement that aims at exempting foreign investors from harsh tax regime.