African government have been urged to prioritize harmonization of laws guiding operations of Special Economic Zones (SEZs).
The zones have been identified as hubs which will drive industrialization in the continent as well as encourage value addition of raw materials.
Speaking at the opening of the 9th African Special Economic Zone Organization (AEZO) Annual Meeting in Nairobi, Industry Principal Secretary Dr. Juma Mukhwana said is the Kenya is keen on maximizing SEZ potential to drive its own economic goals.
“We are working around the clock to ensure that Special Economic Zones succeed in this country, with the help of the Special Economic Zones Authority. We understand the immense potential these economic zones hold for job creation and the contribution to Kenya’s revenue and GDP,” said Dr. Mukhwana.
According to the SEZ Authority, the zones have significantly contributed to the country’s economic growth, creating over 7,000 direct jobs out of which 3,000 were created within the last one year. The SEZs have additionally contributed an estimated Ksh 91 billion to Kenya’s Gross Domestic Product (GDP).
The improved performance of the SEZs is largely attributed to the incentives by the government which has created a conducive environment for growth and development for investors.
AEZO meeting brings together SEZ authorities from across Africa and serves as a platform to exchange success stories, identify challenges, and promote greater collaboration among African countries.
Dr. Mukhwana further highlighted Kenya’s leadership on issues such as minimum wage standards, urging other African nations to align their minimum wage policies to create a more competitive environment for investment.
“Kenya has been ahead of many African countries in setting minimum wage standards. While this is an achievement, it sometimes positions Kenya as a more expensive investment destination. We encourage other African countries to also set minimum wage benchmarks to ensure a level playing field for all,” he added.
SEZA says with growing emphasis on environmental sustainability, the SEZs in Kenya are adopting green practices, including clean energy initiatives, waste management innovations, and circular economy models, positioning Kenya as a leader in sustainable industrialization on the African continent.
