MOMBASA SPECIAL ECONOMIC ZONEAT DONGO KUNDU

THE FUTURE OF KENYATHE FUTURE OF KENYA

@ Grand Palace Hotel

Investment Promotion SeminarInvestment Promotion Seminar

4th August, 2015

Investment Climate of Kenya

The Largest and Growing Economy in East Africa

Gateway to Eastern and Central Africa Gateway to Eastern and Central Africa

Liberalized Economy

217

$5544

$55Billion!

EAC total$119 Billion!

3 33

2Source: WDI (2013), Reuters Africa (Sep. 30Source: WDI (2013), Reuters Africa (Sep. 30thth, 2014), 2014)

Investment Opportunities in Kenya

High Potential EAC Market

Good Access to Multiple Markets Good Access to Multiple Markets

Opportunities in Multiple Sectors

Largest GDPin East Africa

G t t L d F ll Lib li d

EAC and COMESA Regional

Abandon Skilled Labour

Multi-Mode International

Logistic Functions

3

Gateway to Land-Locked Countries

Fully Liberalized Economy

Regional Integration(Airport, Sea Port,

Railway, Road)

Vision 2030 and Special Economic Zone Development

Strong Leadership with the Vision 2030

Flagship SEZ Development Flagship SEZ Development

Investor-Friendly Environment

4

Vision 2030 and National Flagship Projects

Special Economic Zones(SEZ) Development

Corridor Development Corridor Development

Other Development

KISUMU SEZ

NAIROBI

LAPSSET

NAIROBICITY

LAPSSETKONZATECHNO CITY

MOMBASA SEZ

TECHNO CITY

5

Super Goal of Special Economic Zone Development

ALL FOR BETTER AND HIGH QUALITY LIFE IN KENYA

HANDLING SOCIAL AND ECONOMIC CHALLENGES

ACHIEVING STRONG AND SUSTAINABLE GROWTH

l dbaccrue socio-economic benefit by eco-friendly way

t tili d i i th t tt t i t ith

- improve living condition- realize affluent life-style

- create more job opportunities- bring varies business chances

necessary to utilize and maximize the value of natural and human resorces of Mombasa and surrounding Counties.

necessary to attract investors with new technology and market access and

accumulate various types of industries and business in SEZ.

necessary to create efficient logistics t d t d l i f ti

to promote non-traditional industries and b i i K b i d i FDI d

6

system and to develop information system and a human resources HUB

for East African Region.

businesses in Kenya by inducing FDI and creating new domestic value-chain.

Why Invest in Mombasa

Gateway to East Africa

Logistics and Economic Hub

MIDDLE EAST

Logistics and Economic Hub

Many New Development Projects

EUROPE

EUROPE

MIDDLE EASTASIA

SGR EUROPESGR

Southern By-Pass(will be completed by 2018)

7

Target Priority Industries

Not Limited to the following

Industries meeting the Super Goal Welcome Welcome

Local and Foreign Investors Welcome

Manufacturing Garment & Footwear

Food & BeverageMineral Resource

Processing

Tea Trade Petroleum and Petro Chemical Products

Logistics

Construction Materials

Agro-inputs & Machinery

Consumer Goods

Auto Vehicle Spares and Parts Trade & Manufacturing.

Depots

Cut Flower & Fresh Produce Export

Infra-Development Related Functions

Plastic Goods

Pharmaceuticals

White Goods

CFS and Warehousing

Wholesaler & Retailers’ Depots

Produce Export Related FunctionsWhite Goods

HotelAuction

Shopping MallEducation &

Training Exhibition & Conference

Hotel

Show Room

ICTAmusement

8

ServicesTourism Medical

Mombasa SEZ at Dongo Kundu

The First-Ever and All-New SEZ in Kenya

Proximity to Mombasa Port Proximity to Mombasa Port

Industrial Cluster Development

Multi Purpose Port

Highway(Southern Bypass)

9

Development Plan of Dongo Kundu

Port Logistics based SEZ

Multipurpose Functions Multipurpose Functions

Urban Function, including residence and MICE

RESIDENCEfor business persons,

workers, and resettlements etc.

INDUSTRY MICEPORT

INDUSTRYFTZ

Industrial zone, Energy, Petroleum

tanks, etc.

MICEHotel/Auditorium

For Meeting & Incentives,

Convention and Exhibition etc

LOGISTICSFree Port/Warehouse

Container Yards and CFSCustom Services

Bonded Area Exhibition etc.Bonded Areaetc.

INFRASTRUCTUREPower Supply

10

Power SupplyWater Supply and Sewerage

Solid/Industrial WasteTelecommunication

etc.

Development Plan of Dongo Kundu

Total Land Area of 3,277 acres (1,326 ha)

Future Worker Population Forecast of 27,000 Future Worker Population Forecast of 27,000

Equipped with Finest Infrastructure(h ) ( ) (%)Land Use (ha) (acre) (%)

1 Port *1 66 163 5.02 Free port/Free trade zone A/B/C 121 299 9.13 Free port/Free trade zone D 33 82 2.54 Industrial parks 121 299 9.15 Miscellaneous zone 0

Land Use

5 Miscellaneous zone 05.1 Residential area E 11 27 0.85.2 MICE area 2 5 0.25.3 Tourism parks 49 121 3.75.4 Service area 10 25 0.7

6 Power plant 06 Power plant 06.1 Plant area 64 158 4.86.2 Transmission line area 56 139 4.2

7 Enterprise area 07.1 Enterprise area A/B/C 198 489 14.97.2 Enterprise area (D~J) 128 316 9.6p ( )

8 Residetial area A/B/C/D 28 69 2.19 Infrastructure/utility 0

9.1 Mombasa southern bypass road 34 84 2.69.2 Internal arterial roads 22 55 1.79.3 Utility (SS, DC, utility area) 18 44 1.4

11

y ( y )9.4 Main drainage network area 26 64 2.0

10 Kaya (reserved area) 24 59 1.811 Green, river/reserve area 315 779 23.8

1,326 3,277 100*1 Including offshore land fill 40 ha which is outside of original boundary

Total Project Area

Development Plan of Infrastructure

Power Plant Project lead by Ministry of Energy

Water Supply Project by Mombasa County with support of WB Water Supply Project by Mombasa County with support of WB

Southern Bypass by KENHA with support of JICA

Public InfrastructurePublic InfrastructurePort Facilities

Artery Road and Utilities

Main Drainage System

Zone InfrastructureZone Infrastructure

g y

Internal Road and Utilities

Land Grading/Preparations

12

Industrial Facilities

Investing at Mombasa SEZ

One-Stop Service Center

Efficient Custom Clearance Efficient Custom Clearance

Clear Legal Framework

A li d L l F kApplied Legal Frameworks The Constitutions of Kenya

(Const 2010) C S EAC SEZ Policy

(under discussion) The East African Community

Customs Management Act Customs Management Act, 2014

Kenya SEZ Bill(under deliberation in Parliament)(under deliberation in Parliament)

The Companies Act(CAP 486)

Investment Promotion Act Investment Promotion Act(CAP 485B)

Foreign Investment Protection Act (CAP518)

13

Challenges of the Government

Launching of SEZ Act and Regulation

Establishment of SEZ Authority Establishment of SEZ Authority

Investment Attraction

20182017

Target Year for the Launch of

Zone Development

2016

Mombasa SEZAt Dongo Kundu2015

Implementation of Public

Infrastructure

LaunchSEZA

SEZAct

14

Contacts

The Republic of Kenya

Ministry of Industrialization and Enterprise Development Ministry of Industrialization and Enterprise Development

Office of the Principal Secretary

Office of the Principal SecretaryOffice of the Principal SecretaryNSSF Building 17NSSF Building 17thth FloorFloorNSSF Building, 17NSSF Building, 17thth Floor,Floor,Bishops Road Capital HillBishops Road Capital HillBlockBlock ‘‘AA’’ Eastern WingEastern WingBlock Block AA Eastern WingEastern WingP.O. Box 30547, 00100 GPOP.O. Box 30547, 00100 GPO

Tel: +254Tel: +254--020020--27315312731531--99Email: ps@industrialization.go.keEmail: ps@industrialization.go.keEmail ps@industrialization.go.ke Email ps@industrialization.go.ke

15