Business News

State to invest in ICT

East African Standard

By Tom Mogusu

The Government wants to use the manufacturing and ICT sectors to attract new investment and create new jobs.

Under Vision 2030, the Government says that it will invest in training, research and development and a host of other incentives, as part of efforts to create a firm foundation for the two sectors.

It is expected that these investments will trigger the introduction of an additional Sh30 billion to the Gross Domestic Product by way of producing consumer goods that can compete with imports.

The additional income should also come from an increase in market by Kenyan products within the region from a low of seven to 15 per cent.

“Kenya also intends to attract at least 10 large strategic investors in key agro-processing industries, targeting local and international markets,” the plan says.

The specific strategies will involve restructuring key local industries that use local raw materials but lack a competitive edge such as sugar and papers manufacturing that are currently faced with competition from cheap and highly subsidised imports.

Kenya also aims to strategically increase the levels of value addition in niche exports by additional processing of local agriculture products.

The flagship projects for 2008-2012 include; Development of a strategy to develop two special ‘economic clusters’ and the creation of at least five small and medium enterprise industrial parks.