• The president said the government will continue implementing business friendly policies to make Kenya competitive as an investment destination.
• Bidco Group has engaged 35,000 farmers across the country to supply them with soya and sunflower produce.
President Uhuru Kenyatta has told manufacturers that the government is finalising plans for a 30 percent electricity cost reduction plan through a rebate system.
He further announced that special requests for further cutbacks to be extended to the textile and steel mill sub-sectors are under consideration and will be finalised by the end of the year.
The President said the government has diversification the country's energy mix with a focus on renewables like wind and geothermal energy which have lower feed-in tariffs compared to thermal energy.
“This year alone, we have seen the injection of over 310 megawatts of renewable energy on to our grid,” the president said.
He was speaking on Thursday when he inaugurated the Bidco Industrial Park that will host the company's beverage and food processing factory in Ruiru, Kiambu county.
He said peace, stability and national unity are key to investment.
The president said the government will continue implementing business friendly policies to make Kenya competitive as an investment destination.
The president said the government is also tackling the issue of counterfeits and illicit goods, dumping, VAT refunds, taxation policy on manufacturing concerns, pending bills, port and transport logistics delays and corruption among others to make Kenya attractive to investors.
He said as of Thursday morning, Shs 14.7 billion in VAT refunds had been paid out to affected businesses while another Shs 24.6 billion is currently in the process of verification by the Kenya Revenue Authority.
“In addition, my administration has proposed, as part of the Finance Bill 2019, the reduction of VAT withholding tax from 6 to 2 percent,’ he said.
Last month the government released Shs 50 billion for settling pending bills that had accumulated at both national and county government levels with some of the payments going to local manufacturers and suppliers, most of whom are SME’s that form the bedrock of the economy
He said the Standard Gauge Railway to Naivasha will be complete in a matter of months while the revitalisation of the Kisumu Port is on track and will ease the movement of cargo both within the country and the region when complete.
The President said a list of products will receive exclusive preference through purchase by all ministries and state departments top of which are locally assembled vehicles.
“We have also commenced the implementation of the ‘Buy Kenya, Build Kenya’ and local content policies, all of which are expected to expand the local market for manufactured goods and services,” he said.
Bidco Group has engaged 35,000 farmers across the country to supply them with soya and sunflower produce.
President Kenyatta noted that the new factory has already created 1,000 direct jobs and 5,000 indirect jobs throughout the Bidco distribution chain.