- The legislation proposes the establishment of a digital one-start-one-go for investment facilitation.
- This is to provide a streamlined and efficient process for obtaining licenses, permits and approvals.
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The Kenya Investment Promotion and Facilitation Bill 2023 is a step from becoming law after conclusion of public participation phase in Isiolo, one of the targeted frontier counties.
The Bill seeks to streamline the coordination of Kenya's investment related matters by simplifying administrative procedures, enhancing transparency and cutting bureaucratic obstacles.
It mainly aims to encourage investment in the country while ensuring smooth implementation of investment projects.
The Bill proposes the establishment of a digital one-start-one-go for investment facilitation, which will provide a streamlined and efficient process for obtaining licenses, permits and approvals.
Additionally, it will introduce a comprehensive investment incentives framework to attract and retain investors in priority sectors.
According to Kenya Investment Authority (KenInvest) managing director June Chepkemei, public participation provided an opportunity for Kenyans to interrogate the proposed Bill and submit their views for consideration.
She emphasised on the need for citizen involvement in policy making and implementation, so as to strengthen and deepen good governance.
“We want to tailor our legislation to emerging changes, standardise the legal and regulatory environment for investment as well as align it to the constitution,” Chepkemei said.
The Investment Promotion Act initially adopted and enacted in 2004, has undergone a comprehensive review after 19 years.
Proposed amendments include the renaming of the Act to Investment Promotion and Facilitation Bill 2023, alignment with the provisions of the Constitution of Kenya and alignment with the Kenya Investment Policy (2019).
Alignment with the state's Bottom-Up Economic Transformation Agenda and introduction of mandatory registration of investors for data capturing and reporting, are also proposed.
The Bill if made law, will be a crucial add-on to KenInvest's initiative last year to partner with the United Nations Development Programme and World Bank to develop and implement the Investment Facilitation Framework and Foreign Direct Investment (FDI) Attraction Strategy.
The framework was aimed at creating a transparent, predictable, efficient and trusted mechanism for effective investment facilitation.
Investments, Trade and Industry CS Rebecca Miano, while speaking at the launch of the pact in November, lauded the partnership saying it will make it easier for investors to invest, conduct their business and expand their operations in Kenya.
“Through the partnership, Kenya will streamline procedures related to domestic and foreign investor attraction and also improve coordination and cooperation among actors in the investment cycle," Miano noted.
Through the partnership, the government also sought to leverage UNDP’s global network to implement the framework as well as work with them as a project manager, to support key priority areas.
These include legislative and regulatory reforms to remove barriers to investment attraction; investment facilitation framework, including design and executing of an Investor Facilitation Platform; and institutional capacity development including organisation review and development of a strategy to strengthen Kenya Investment Authority.
The government mulls all these with a set target to attract Foreign Direct Investment to the tune of $10 billion (Sh1.42 trillion).