Investment Forum Unlocks Incentives to Boost Africa’s Manufacturing Growth.

Investment Forum Unlocks Incentives to Boost Africa’s Manufacturing Growth

(Left) Ed Burbidge, Strategic Advisor, Manufacturing Africa, (centre) Amos Gayo Chief Manager KRA, (right) Daniel Mainda CEO, Nairobi International Finance Center during the panel conversation about the Incentives that can boost manufacturing growth, at Zen Gardens in Nairobi.

Nairobi, Kenya, September 10, 2025

Africa’s manufacturing sector received a major boost today as government agencies, investors, and industry leaders convened for the Manufacturing Africa Investment Forum in Nairobi. The forum, supported by the UK government-funded Manufacturing Africa programme, provided a platform for manufacturers from Kenya, Ethiopia, Rwanda, and Tanzania to pitch their businesses to over 20 international investors, including British International Investment (BII).

The event highlighted both government policy reforms and financial incentives designed to attract new investments into the continent’s industrial ecosystem.

Kenya Revenue Authority (KRA) Chief Manager Amos Gayo, speaking as a panelist, outlined key tax and operational incentives that manufacturers can access when establishing operations in the country.

“KRA allows manufacturers to benefit from incentives, including a 25% exemption on computers and duplications, and 10% on furniture. We have built a robust relationship management system to work seamlessly with any manufacturer or investor coming into Kenya,” Gayo said.

He added that KRA is taking steps to streamline its processes by reducing multiple audits, automating manual procedures, and fast-tracking tax refunds. “We are working with the Ministry of Finance and the Treasury to allocate more resources to handle refund issues. At the same time, we are intensifying the fight against illicit and counterfeit imports that evade duty while disadvantaged compliant businesses,” he stressed.

Gayo emphasized that KRA is restructuring to ensure all manufacturers and investors are supported, while urging the private sector to partner with government agencies in raising awareness about available incentives.

On his part, Daniel Mainda, CEO of the Nairobi International Finance Centre (NIFC), pointed to strategic tax incentives as a cornerstone of Kenya’s plan to attract long-term investments.

“We are offering a 15% tax rate for the first 10 years to new investors to accelerate their growth. Already, in the past four months, several UK manufacturers have expressed interest in joining the centre to benefit from these incentives. We are confident that the $2 billion investment target by 2027 is achievable,” Mainda said.

He underscored the importance of creating a predictable and conducive investment environment, noting that NIFC is focused on positioning Nairobi as the region’s leading financial and industrial hub. “This financial year, we are expanding incentives to respond to the evolving needs of different industries. Our goal is to secure Kenya’s position as the number one destination for manufacturers looking to scale in Africa,” Mainda added.

The forum also showcased the impact of the UK’s Manufacturing Africa programme, which has already provided investment advisory support to more than 230 manufacturing companies across East Africa. To date, the initiative has mobilised $2.4 billion in Foreign Direct Investment (FDI) and is expected to create over 120,000 jobs across the region by 2027.

Speaking at the event, the Acting British High Commissioner to Kenya, Dr. Ed Barnett, hailed the resilience of Kenya’s manufacturing sector and reaffirmed the UK’s commitment to supporting industrial transformation.

“Kenya’s manufacturing sector is bursting with innovation and potential. The Kenya-UK strategic partnership is rooted in shared values and bold ambition. Through Manufacturing Africa, we are helping entrepreneurs unlock investment that drives sustainable growth for people, planet, and prosperity,” Barnett said.

The discussions underscored the need for stronger public-private partnerships, improved trade facilitation, and infrastructure development to position Africa’s manufacturing industry as a key driver of economic transformation.

With incentives from institutions such as KRA and NIFC, coupled with international investor confidence, stakeholders expressed optimism that Africa’s manufacturing sector is on the cusp of unprecedented growth.