Daily Nation Kenya

Kenya third in foreign investment rise: report

Photo/FILE Nairobi, Kenya’s capital city, is a regional investment hub for major multi-national companies setting up base for a slice of the East African market.

By NATION REPORTER

Kenya is third after South Africa and Morocco in the list of countries in Africa that attracted the most foreign Direct Investment projects in 2011.

According to a report released by fDi Intelligence, Kenya attracted 55 new projects last year in foreign direct investments, raising the level of such projects by 77 per cent compared to 2010.

South Africa led the continent with 154 new projects followed by Morocco with 70 new projects.

“South Africa was the best performing country in the region in 2011, with a 57 per cent increase in project numbers, 87 per cent growth in capital investment…” say the report.

The statistics mirror others that have placed the country among the most sought after investment destinations in the world, an indication of growing confidence among foreign investors in country.

fDi Intelligence is a subsidiary of the Financial Times Limited.

Another report released on Monday by Stanbic Investment Management Services shows that agri-business and manufacturing remain the main attraction for foreign investors looking for investment opportunities.

The Stanbic report shows that between 2007 and 2008, foreign direct investment in agri-business in Kenya rose by 42 per cent while those into the manufacturing sector rose by 87 per cent, even as global investment flows decreased as a result of the global economic downturn.

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