‘Kenyans are educated, skilled, hospitable and enterprising’: Ruto woos US investors

President William Ruto has billed Kenya as a strategic business location for investors seeking to enter the domestic market, East Africa, the Horn of Africa and the continent.

Ruto, who is on a four-day state visit to the United States on Tuesday told delegates at an investors meeting of Atlanta-based companies in Georgia that Nairobi’s geo-strategic position is incomparable, making it “a rational and strategic choice for many global multinational firms, international organisations and NGOs.”

“We are renowned for our well-educated, highly skilled, hospitable, and enterprising population, including motivated young men and women who reflect our entrepreneurial spirit,” the President told American investors.

He highlighted Kenya’s investment towards modern and efficient transport, communication, and energy infrastructure as reinforcement of the country’s position as a regional gateway.

“Additionally, 93 per cent of Kenya's national grid is powered by renewable energy from abundant hydro, wind, solar, and geothermal sources, placing us on track to achieving a 100 per cent clean energy supply by 2032,” Ruto added.

The President said Kenya has been updating tax policy guidelines since June last year to create a more predictable tax regime, saying his administration will continue doing this for a minimum of three years.

“Additionally, we have reviewed our Digital Services Tax regime, aligning it with the Organisation for Economic Cooperation and Development (OECD) inclusive framework. VAT on exported services is no longer payable, and verified tax refund claims will be processed within six months, failing which taxpayers can offset their claim against future tax liability without further application to the Kenya Revenue Authority,” Ruto noted.

He further stated that start-ups are now exempt from paying taxes due to unrealised gains on employee-allocated shares, to fortify Kenya's start-up scene which was the most funded in Africa last year.

“The National ICT Policy, which required foreign companies to have a 30% domestic equity, was repealed last year, to facilitate greater investment in our ICT sector,” said Ruto.

“We are committed to attracting significant foreign direct investment by creating a stable, transparent, and predictable business environment. Consequently, we are continuously enhancing our institutional framework, and regulatory regime, and providing incentives, to attract foreign investment,” he added.

Ruto’s visit to the Western nation is the first state visit by an African leader in 15 years and aims to strengthen ties with the U.S. while also opening doors to investment.

On Wednesday, Ruto is scheduled to be accorded “full ceremonial state honours” in Washington D.C., per a communiqué by the State House, and later meet a congressional delegation and hold discussions at Capitol Hill.