Useful Tips

KENYA

Kenya is the strongest economy in East Africa and provides a sizeable local market of over 30 million persons. The country presents unique opportunities and cuts a competitive edge in the region as a special location for investments including:

• East and Central Africa regional hub in Finance, Communication and Transportation sectors
• Large pool of educated, skilled, enterprising and English speaking labour force
• Well established and mature private sector
• Fully liberalized economy (No exchange controls)
• A wide range of suitable Tax, Trade, and Investment Agreements;
• As a member of the Multilateral Investment Guarantee Agency (MIGA), International Centre for the Settlement of Investment Disputes (ICSID) and Africa Trade Insurance Agency (ATIA), investors are insured against non-commercial risk. Kenya’s constitution guarantees against expropriation
• Business friendly regulatory reforms (2008 World Bank Doing Business ranks among the Top Ten Reformers in the World) for improving the regulatory framework
• Relatively established Social and Physical infrastructure
• Cordial hospitality and Warmth of the people
• Manufacturing Under Bond (MUB) programme:
  i) This guarantees 100% investment allowance
  ii) Duty and VAT exemption on, equipment and raw materials.
• Export Processing Zones Programme:
  i) 10 year tax holiday
  ii) Duty and VAT exemption
  iii) Single license
  iv) Exemption from stamp duty
  v) Exemption for withholding tax
  vi) 25 % corporate tax for 10 years after the first 10 years expire
  vii) 100% investment allowance
• Duty Remission – exemption on duties and VAT on raw materials utilized to manufacture exports
• Liberal Depreciation Rates based on book value
• Loss-Carry forward Business must recover previous losses before paying corporate tax
• Capital expenditure:
  i) Duties paid for capital expenditure in excess of US$70,000 can be recovered from corporate tax
  ii) Capital goods and basic raw materials are zero rated
• Tourism:
  i) Investments in tourist hotels can apply for waiver of duties and VAT
  ii) 100% investment allowance for new investments in manufacturing and tourist hotels
• 25% corporate tax companies issuing initial public offers in the Nairobi Stock Exchange (NSE)
• Computers are duty free
• Market Access: Investors locating in Kenya can access the following additional markets:
  i) East African Community (EAC) with a population of 120 million comprising of five states backed by a Customs Union Protocol
  ii) Common Markets for Eastern and Southern Africa (COMESA) comprises 19 member states with a population of over 409 million
  iii) African Growth and Opportunity Act (AGOA) allowing Duty quota – free access to the US market
  iv) Along with African Caribbean and Pacific (ACP) countries, Kenya will be entering a World Trade Organization (WTO) compatible Economic Partnership Agreement (EPA) with the European Union (EU) thereby accessing the European Union markets and
  v) Tokyo International Conference on Africa Development (TICAD) for Asian Market.
  
  
  
• AIRPORT NAIROBI
  Jomo Kenyatta International Airport is approximately half an hour's drive from Nairobi city centre. Taxis are readily available but establish the fare before getting into the vehicle, as there are many drivers who will approach you for business. The state-controlled Kenatco taxis work on a fixed rate using reliable and clean vehicles, as do the black London-style cabs, which have, by law, to charge per kilometre. Other taxis tend to vary; some appear to be old wrecks and as they do not come under the control of the municipal councils, you may find they are not insured. Always check first.
  
  Most tourist hotels have their own minibus transport, which can be arranged through the reception.
  
  
  
• AIRPORT MOMBASA
  Moi International Airport on the Kenya Coast is approximately 10 minutes from the city centre, although most of the tourist hotels are situated to the North and South coastal regions. Allow an extra half-an-hour for your journey to the south coast because of the Likoni ferry crossing.
  
  
  
• IMPORTANT
  For international departures there is an airport tax to pay $20 or Kshs 200 for domestic flights, which is normally included in the price of your ticket.
  
  
  
• CAR HIRE
  Most International car hire companies are represented in Kenya in addition to some of the enterprising locals. Rates may vary on a daily or weekly basis depending on types of vehicle ranging from four-wheel drives to small saloons. Vehicles travel on the left-hand side of the road and most cars are right hand drive. A current driving license with photograph is accepted for up to three months stay.
  
  
• PUBLIC TRANSPORT
  City buses operate in Nairobi and Mombasa at reasonably low rates. However, avoid peak hours as most transport is crammed full. Fares are paid to the conductor.
  
  
• TRAINS
  There is a rail service from Nairobi and Kisumu where first and second class accommodation is available.
  
  
• POSTAL SERVICES
  Post offices are identified by the words Posta Kenya and mail posting boxes are marked. Usually you can buy stamps at post offices, stationers, souvenier shops and hotels. Post office hours are from 8.00am to 5.00pm, Monday to Friday and from 9.00am until 12.00 noon on Saturday, at main post offices.
  
  
• TELEPHONE SERVICES
  
  Communication Services
  Telkom Kenya provides advanced telecommunication services that include voice data, Internet and multimedia, whilst cellular mobile services are provided by Safaricom and Celtel communications.
  
  
• CURRENCY
  Kenya's unit of currency is the shilling (Sh/s) (slang bob). Written 1/-, 2/50/- etc. Divided into 100 cents ©. There are copper coins of 50c and 1/- and silver copper coins of 5/-, 10/-, 20/-. And 40/-. Bank notes are available in denominations of 5/-, 10/-, 20/-, 50/-, 100/-, 200/-, 500/- and 1000/-
  
  
• URRENCY RESTRICTIONS
  There are no restrictions on the movement of currency into or out of Kenya for currency transactions.
  
  BANKING HOURS
  Banks in Nairobi and other towns open from 9.00an - 3.00pm Monday to Friday and 9.00am - 100.00am on the first and last Saturday of each month.
  
  24-hour access to your account can be facilitated by ATMs countrywide. Banks in Mombasa and the coastal areas open and close half an hour earlier. Some banks at the international airports open round the clock every day, as do the foreign exchange bureaux.
  
  CREDIT CARDS
  All the major international credit cards are accepted in Kenya and most ATMs can accept any international VISA and MASTERCARD credit cards. Standard Charted Bank's computer network allows access to over 60 "moneylink" ATMs situated at all its branches, major shopping malls, gas stations and other strategic locations countrywide. Holders of VISA cards can also link up to their home bank or credit card account through Money link ATMs around the clock.
  
  KCB have 55 Visa and Visa Electron compliant ATMs available 24-hours nationwide accepting international credit cards. Travellers' cheques are also readily recognisesable and accepted at most places.
  
  VOLTAGE
  All regions in Kenya are supplied with 240 volts AC. Some lodges have independent power generators, which may vary. The plug in use throughout Kenya is of the three square pin. 13 amp type.
  
  SECURITY
  As in other countries, it is always advisable to hand in your passport, traveller' cheques, excess money and any other valuables at hotel reception desks for placing in their safe for security. Alternatively, where available, you will find a safety deposit box in your hotel room.
  
  It is a sensible precaution not to walk alone in isolated towns or beach areas, particularly after dark. Ask for advice from your hotel manager or tour representative if you are with a package holiday company
  
  PUBLIC HOLIDAY
  Jan 1 New Years Day
  May 1 Labour Day
  June 1 Madaraka (self rule) day
  Oct 10 Moi day
  Oct 20 Kenyatta Day
  Dec 12 Uhuru/Jamhuri day ( Independence/Republic)
  Dec 25 Christmas day
  Dec 26 boxing day
  
  For public holiday falling on a Sunday, the following Monday is observed as the official holiday.
  
  MOVEABLE DATES
  Good Friday, Easter Monday, Idd-ul-Ftr.
  
  HOTEL BILL PAYMENT
  This can be paid in Kenya Shillings or convertible foreign currency such as US dollars. Credit cards are accepted in most hotels.
  
  TIPPING
  Tipping is not mandatory but not forbidden as in some other African countries. Tipping is entirely at your discretion and most hotels and restaurants include a 10% service charge to the bill.
  
  WATER
  Nairobi and Mombasa hotels are virtually 100% safe for drinking water. However, if In doubt, a variety of bottled water is available in most places.
  
  Most isolated lodges filtered water in jars or flasks which is a direct warning that tap water is not safe, even for brushing teeth.
  
  WATER CONSERVATION
  Shortage of water due to inadequate rainfalls means that you should ensure that you try and conserve water as much as possible.
  
  VISAS
  Most incoming visitors to Kenya, whether for business or pleasure, now require a visa irrespective of nationality, Multiple and single entry visas are available.
  
  The single entry fee is US $50 (correct at time of printing) or the equivalent in local currency and can be obtained upon arrival at the airport.
  
  Visa applications can be made at any Kenya High Commission or Embassy prior to travelling. For more information contact your nearest Kenya High Commission.

   

  Tourist Office - Nairobi Kenya Tourism Board Kenya Re Towers Ragati Road Upper Hill P.O. Box 30630 Nairobi Tel: +254 (0) 20 2711262 Fax: - +254 (0) 20 2719925 Email: \n info@kenyatourism.org This e-mail address is being protected from spam bots, you need JavaScript enabled to view it Website: www.magicalkenya.com Open from 8.00am - 5.00pm Monday to Friday	Kenya Association of Tour Operators Longonot Road Upper Hill P. O. Box 48461 Nairobi Tel: +254 (0) 20 2713348/2713386 2722401/2726517 Mobile: 0722 434845 or 09733 226932 Fax: +254 (0)20 2719226 Email: \n info@katokenya.org This e-mail address is being protected from spam bots, you need JavaScript enabled to view it Website: www.katokenya.org
  Tourist Office - Mombasa Moi International Airport Mombasa Tel: +254 (0) 41 433211/434250 (Request tourism section) Open from 8.00 am- 1.00pm And 2.00pm -5.00pm Monday to Saturday	Safety & Communication Center Kenya Tourism Federation KWS Complex Langata Road P.O Box 15013 Nairobi Tel: +254 (0) 20 604767/604729 Tel/Fax: +254 (0) 20 604730 Mobile: 0733 617499 or 0722 745645 Tourist 24-hour helpline Tel: +254 (0) 20 604767/605485
  Kenya Investment Authority, National Bank Building , Harambee Avenue . P.O.Box 555704-00200 Nairobi Kenya . Tel: +254-20-221401 Cell: +254-722-205454 Fax: +254-20-243862 Email:  \n info@investmentkenya.com This e-mail address is being protected from spam bots, you need JavaScript enabled to view it URL: www.investmentkenya.com