Government has lauded Tatu City as the best example of a special economic zone in the country citing its success as a model for future investment-focused developments in the country.
Speaking when he paid a courtesy visit to Tatu City, the 5,000-acre mixed-use Special Economic Zone (SEZ), Investments, Trade, and Industry Cabinet Secretary Lee Kinyanjui noted the government’s readiness to make reforms that promote investments.
The visit included important conversations around the successful implementation of Kenya’s Special Economic Zones framework to attract foreign direct investment in Kenya.
“With shifting global economic geopolitics, Kenya is increasingly becoming an investment destination for international companies, and SEZs like Tatu City offer a perfect plug-and-play opportunity for such firms,” said Kinyanjui.”
Adding that: “Kenya provides a stable environment for businesses for the long term, and the government has a large appetite to implement reforms that will promote investment in the country. Already, the incentives are on par with some of the more developed markets in Africa, but we are looking at creating centres of investment that are fit for the future.”
During the visit, the Cabinet Secretary toured Tatu Industrial Park, which boasts more than 100 businesses in operation or under development, and Tatu Central, Tatu City’s business and living district. He also visited Kijani Ridge, Kenya’s premier fully serviced residential neighbourhood.
“We support Tatu City’s mixed-use approach. The way many cities have been built creates chronic transport and congestion challenges. Moving forward, the goal is to create integrated cities where people can enjoy a wholesome, sustainable living and working experience,” said Kinyanjui.
Stephen Jennings, Founder and CEO of Rendeavour, the developer and owner of Tatu City, noted that the visit was a positive step in driving learning and improvement of policies that will drive investment in Kenya.
“Africa is seeing significant growth, prompting investors to view the continent as an increasingly attractive destination for capital injection. For Kenya to position itself as the market of choice, it is essential to foster collaboration and develop a sustainable, appealing ecosystem. Engaging in these discussions enables us to better understand the government’s policy direction and provide constructive feedback on potential improvements,”said Jennings.
Tatu City welcomes 25,000 people daily, who live, work, and study within its thriving community, a number set to grow as more companies invest. The city hosts over 100 businesses, including Emirates Logistics, Heineken, Cold Solutions, CCI Global, Ace Autofix, Dormans, FullCare, Kärcher, CKL, Naivas, NCBA, Grit Real Estate Income Group, Hewatele, Freight Forwarders Solutions, Tamarind Group, ADvTECH, Friendship Group, Bakels, Novis, and Davis & Shirtliff.
Firms setting up operations in Tatu City SEZ benefit from a range of incentives, including a 10pc corporate tax rate for the first 10 years and 15pc for the following 10 years, compared to the standard 30pc.
Businesses also enjoy VAT zero-rating on goods and services, and exemptions on import duty and stamp duty.
