President William Ruto has assured investors of a predictable policy environment and long-term incentives in Kenya’s special economic zones (SEZs), pledging that the country remains committed to industrialisation and global competitiveness.
Speaking during the groundbreaking of the 2,000-acre Vipingo Special Economic Zone in Kilifi County on Tuesday, President Ruto said the government has anchored investor protection in the Special Economic Zones Act of 2015, the Finance Act of 2023 and the Business Laws Amendment 2024.
“The law on tax incentives is guaranteed for 10 years, and any changes will only benefit investors,” he said during a panel discussion at the launch.
The President described SEZs as central to Kenya’s economic transformation, citing the country’s 38 SEZs, 111 export processing zones, abundant renewable energy, skilled youth and access to the 1.4 billion-strong Africa Continental Free Trade Area (AfCFTA) market.
“We are investing in special economic zones as engines of growth to fast-track industrialisation, attract global investors, and create wealth for our people,” Dr Ruto said.
The Vipingo project is expected to attract at least $3 billion (KSh390 billion) in investments and create more than 35,000 direct jobs, alongside thousands of indirect opportunities across various industries.
The Head of State noted that SEZs are aligned with the Bottom-Up Economic Transformation Agenda (BETA), providing infrastructure such as roads, water, power and ICT while powering key industries including agro-processing, textiles, pharmaceuticals and e-mobility.
At the Arise Integrated Industrial Platforms Kenya Investment Forum 2025 held at Vipingo Ridge, the President outlined three new investment packages—textiles and apparel, e-mobility, and Business Process Outsourcing (BPOs)—saying they will be unveiled to investors next week.
“Together, they form a blueprint for building end-to-end value chain ecosystems that create jobs, raise incomes, strengthen food security, and position our counties as net exporters,” he said.
During the forum, Dr Ruto witnessed the signing of a Memorandum of Understanding (MoU) between the Ministry of Investments, Trade and Industry and China’s Linglong Group to establish a state-of-the-art auto spare parts industrial park in Kenya.
He also lauded partnerships with Arise IIP, Centum, and Vision Invest—which has pledged a $700 million (KSh91 billion) investment—as a vote of confidence in Kenya’s position as a premier destination for transformative investments.
Afrexim Bank President and Chairman Benedict Oramah, Investment, Trade and Industry Cabinet Secretary Lee Kinyanjui, and Kilifi Governor Gideon Mung’aro also addressed the gathering, endorsing SEZs as key to driving Kenya and Africa’s industrialisation agenda.
I’m curious to see how the Vipingo project pans out. SEZs have huge potential, but the key will be ensuring that local communities truly benefit from the investments and job creation. Any thoughts on this aspect?
Exciting vision! President Ruto’s push for Special Economic Zones (SEZs) highlights their role in driving growth and investment. The VIPingo project is a promising step forward for Kenya’s economy!