Contents

Market Analysis...........................................................................................................................................2
Global and regional MICE market overview............................................................................................2
Kenya Macroeconomics...........................................................................................................................4
Kenyan Business Tourism........................................................................................................................7
Market Analysis Key Findings................................................................................................................11
Competitor Research.................................................................................................................................13
Competitor Analysis...............................................................................................................................13
Best Africa MICE facilities......................................................................................................................14
Top 8 Kenyan venues.............................................................................................................................15
Conclusion.................................................................................................................................................17

1
Market Analysis
Global and regional MICE market overview
The global MICE tourism, valued at over USD 800 Billion in 2017, is estimated to grow at a CAGR of
around 7.5% and cross 1.5 Trillion US dollars by 2025. The industry offering Meetings, incentives,
conferences, and exhibitions services, is further supported by Government initiatives to promote
tourism across the globe. If the US, Singapore, Germany, China, the UK, France, Italy, and Spain are
leading the sector with their robust tourism sector, then the emerging economies like India, Brazil have
ramped up their investments in the tourism sector to benefit the MICE events.

Over the past few years, Kenya has successfully hosted multiple international meetings,
conferences and exhibitions. In total, these events attracted over 100,000 delegates from
every part of the world

According to the Cabinet secretary in charge, it is hoped and believed that the country could
make over Sh3.74 billion from such events every year,

In 2015 the country hosted 117,630 foreign arrivals taking part in MICE activities, representing
a 13% increase on the 2014 total, and 15.6% of the total number of international tourist
arrivals for the year

Close to 10,000 delegates visited the opening ceremony of the Meetings, Incentives,
Conferences, and Exhibitions (MICE) exhibition at KICC. It is estimated that, every delegate
spent about Ksh 374,000 on average

Year 2015 saw multiple conference taking place in Kenya like, Global conference on Public
Relations in Emerging Countries and 10th edition of WTO ministerial conference in Mombasa,
to name a few

Kenya has seen a steady rise in MICE tourist arrivals over the past few years. Clearly, the focus on MICE tourism is
working out well for Kenya already

Amongst these emerging and established economies, one more region, Africa, is depicting a positive
trend related to MICE activities. Increasing flight access and connectivity, favorable exchange rates, and
an opportunity for carrying out sustainability and CSR events, which further create a brand image
around sustainability, is driving market growth in the region. The Government of African countries is
strategizing to prepare East Africa as the next market-ready region for MICE.

2
The young population of Sub-Saharan Africa is supported by the African Union's Agenda 2063, with a
plan to increase tourism competitiveness, majorly into the business sector. Countries like Uganda have
developed National Convention Bureau (NCB), while Kenya and Ethiopia are up scaling their NCB to
increase the demands for MICE events in Africa. Kenya, with the strategic location of Nairobi and
improved infrastructure, is well placed to be the preferred regional hub for the East Africa Community,
and continue to enhance the growth of business travelers.

Valued at over USD 800 Billion in 2017 GLOBAL

CAGR of around 7.5%
MARKET Expected to cross 1.5 Trillion US dollars by 2025
SCOPE

Reduced political activity and beefed-up security

betterment of infrastructure, connectivity, technology, visual
KENYA
attractions, increased FDI
GROWTH
new trend of "Bleisure" is rising in the country
CATALYSTS

Improved Road Infrastructure

Improved Transport Infrastructure KENYA
Improved Railway Infrastructure
Initiatives

The Government of Kenya has understood the value of tourism for the country and has a mission to
propel Kenya to the top 50 MICE destinations globally and at least the top two in Africa by 2022. It came
up with the "Kenyan Tourism Agenda, (2018-2022)", which stresses the need to boost business tourism,
for it is a lucrative and fast-growing segment of the world's tourism.

Reduced political activity and beefed-up security have further necessitated increased bookings in the
Nairobi region, and the new trend of "Bleisure" is rising in the country. This, along with multiple

3
futuristic investment plans from the Govt of Kenya, including the betterment of infrastructure,
connectivity, technology, visual attractions, increased FDI, and others, have placed Kenya on the verge
of being recognized as one of the major MICE destinations globally.

Kenya Macroeconomics
Kenya has undertaken major political, structural, and economic reforms that, over the past decade, have
primarily driven sustained economic growth, social development, and political gains.

Kenya GDP Kenya: Share of economic sectors in

7.00%
the GDP
6.00%
5.70% 100%
5.20%
45% 42% 43% 43%
49% 48% 47% 48% 48% 48% 46%

3.50% 50%
17% 18% 17% 16% 16%
19% 19% 19% 19% 18% 17%
1.50% 35% 34% 34%
23% 25% 26% 26% 26% 27% 30% 31%
0%
20092010201120122013201420152016201720182019
0.00%
2020 2021 2022 2023 Agriculture Industry Services

Kenya: Inflation Rate

50% 46%

27% 29%
25%
20%
18%
14% 15% 14%
13% 12% 12%
10% 11% 9%
9% 9% 8% 8% 8% 8%
6% 5% 6% 6% 6%
4% 4% 6% 7% 7% 6% 5% 5%5% 5%
3% 2% 2%
0%

Macroeconomic Indicators of Kenya (Source: Statista)

Kenya GDP is forecasted to grow at a good rate in coming years, despite taking massive hit during year
2020. The economic stability of Kenya could be identified by the fact that despite GDP going down still
the inflation has stayed on similar rate like last year. The fact that Govt of Kenya is considering growth of

4
its people is highlighted by the static level of inflation over past many years. Agriculture, services and
Industries are certainly adding up to the stable conditions in Kenya right now.

2015 Tourism sector’s total

contribution to
employment stood at
9.3% of total
2016 employment in Kenya
in 2015. This is
expected to rise by
2.9% annually to 2.1
2026
million jobs in 2026
(9.5% of total
0 0.5 1 1.5 2 2.5 employment),
(Million Jobs per Yer) according to the WTTC

Kenya Tourism — Total Contribution to Employment (Source World Bank)

However, poverty, inequality, climate change, continued low private sector investment, and the
economy's vulnerability to internal and external shocks are still crucial challenges faced by the country.
To mitigate these challenges and support its population, the Government has come up with Vision 2030,
which desires to improve its infrastructure, including road and rail. The overall investment needed for
these regions is $20bn to meet the basic standard of the region's transport infrastructure, and the
inadequate funding continues to impede the speedy implementation of desired projects. However, this
is not stopping the Government from making investments to improve the necessary infrastructure,
including-

 Investment in Road Infrastructure: Recently invested in the improvement of Northern Corridor

worth 368km length. Ongoing construction of the 27km JKIA to Westland four-lane expressway
at the cost of $650mn, including BRT plan, aimed at improving public commuter service and
easing congestion

5
 20% 19%
Kenya contributes
more in GDP
15% through Travel and
Tourism than South
13%
Africa and slightly
11% lesser than the other
10%
10% 9% neighboring
countries. But
considering the level
of GDP for Kenya vs
other countries, it
remains one of the
major economy for
0%
Kenya Madagascar Tanzania Namibia Gambia South Africa Travel and Tourism

Total contribution of travel and tourism to GDP (Source: World Bank)

 Investment in Transport Infrastructure: Multiple regional investments, including a $23bn multi-

modal transport corridor dubbed "Lamu Port-South Sudan-Ethiopia Transport" (LAPSSET)
corridor, aiming for better integration of Kenya, Ethiopia, and South Sudan, with links to a new
port at Lamu in northern Kenya. Another ongoing construction of the 158 kilometers Arusha-Voi
road is scheduled for the completion of December 2019. It is funded by the African
Development Bank (AfDB) and Kenya and Tanzania's governments for $232mn. A second 460
km road between Malindi and Bagamoyo is scheduled to start construction in 2020 at a $751
million cost

 Investment in Railway Infrastructure: The World Bank is providing $300m in financing to

develop the three commuter rail projects. Under the LAPSSET Railway component, a high-speed
standard-gauge railway built on the LAPSSET Corridor will move at an average speed of 150
kilometers/hr. At this speed, it will mainly increase the efficiency of trade in bulky and
perishable goods in the region

6
 According to the World
2013 Travel and Tourism
Council (WTTC), the
2014 tourism industry’s total
contribution to GDP has
reached KES588.6 billion
2015 ($5.9 billion) in Kenya in
2015. The sector’s share
of GDP has fallen from
2016
10.5% to 9.9% in 2015.
WTTC forecasts that the
2025 total contribution of
tourism to GDP to rise
0 500 1000 by 5.1% per annum to
(KES Billion) KES964.2 billion (10.3%
of GDP) by 2025

Kenya Tourism - Total Contribution to GDP (Source: Kenya National Bureau of Statistics)

Although the Kenyan Economy is dealing with Pandemic and Locust's impact, it is still estimated to
recover, and GDP shows growth of over 5% by July 2021. This growth is complemented by the fact that
Kenya has ample Airports, Seaports, and different ports that are well poised to give it an advantage for
trade or MICE tourism. The Government of Kenya is doing its best by investing in these ports,
technologies, and other tourism attractions to make themselves known in the world of business tourism.

Kenyan Business Tourism

The fact that the Government of Kenya is pushing hard to establish the country amongst the top 50
MICE destination in the world is supported by the number of investments they are making to improve
the infrastructure. In fact, recently, Kenya's President Uhuru Kenyatta and French President Emmanuel
Macron in Paris signed three bilateral agreements, out of which two were agreements for the
development of the Nairobi central business district (CBD) to Jomo Kenyatta International Airport (JKIA)
commuter railway line and the 400kV Menengai-Rongai electricity transmission line

7
 Key travel and tourism performance indicators for Kenya (2015; Source World Bank)

Based on natural and wildlife assets.

Safari Tourism The Kenya Wildlife Service, (KWS) is responsible for management of national
parks and executing plans to protect biodiversity.

Caters to the competitive "sun-sea-sand" segment of the global market.

Coastal tourism Ranges from mass-packaged tourism of Mombasa coastal resorts to culturally
rich destinations such as Lamu

Business and Independent business travelers from domestic, regional, and international
markets, and conference and meeting attendees.
conference Kenyatta International Convention Centre (KICC) in Nairobi is the largest
conference facility in East Africa
travel
Kenya offers three main types of tourism products

The Nairobi CBD to JKIA commuter rail link will help enhance travelers' movement between the city
center and Kenya's foremost international airport. The project is estimated to cost USD 189.6 million
and is co-financed by the Bank Group (84.4%) and the GoK (Government of Kenya) (15.6%). The
construction period is 30 months. The beneficiaries include some 80 million people from Kenya and East
Africa directly served by the hub airport. Expanded airport infrastructure is envisaged to improve
connectivity between Kenya and the World, thereby facilitating high-value exports and imports,
increasing tourist earnings, and advancing Kenya's economy towards a middle-income level. These

8
investments are made keeping the Vision 2030 in-sight, which will help increase business tourism in the
country

Uganda
Tourism industry is
a major source of
Tanzania foreign exchange
and employment for
Kenya East African
countries. Kenya
Rawanda faces a growing
competition from its
Ethiopia neighbors as a
tourist destination
0 0.7 1.4 of choice in the
Tourists in Million region

East Africa’s top tourist destinations (2015; Source: World Bank)

Even though the tourism was massively hit by the Pandemic and few months of this year saw negligible
tourists arrival in Kenya, and the Ministry of Tourism has estimated the MICE sector will lose
approximately Ksh 163.56 billion due to the Pandemic. Still, with its strategic location in the region and
facilities like KICC, which boasts international standards and the Kenya National Convention Bureau, it is
expected to increase Kenya's global profile in the MICE sector. This is further strengthened by the fact
that various flagship projects like KICC expansion, building MICC Mombasa, NICC Bomas development,
Kenya Signature Wildlife parks, Mombasa Waterfront Development, Ronald Nagala Utalli college
establishment, Little theatre development, and Building Cruise terminal, are all planned to take MICE
tourism to the next level in Kenya.

All these investments and the Government vision is based upon a well thought off strategy supported by
the fact that MICE is increasingly recognized globally as a critical component of healthy tourism industry.

N a jib B a la la , T o u rism S e c re ta ry in K e n y a , is th e p e rs o n c re d ite d fo r a n A frica n to u rism a c h ie v e m e n t

o f $ 1 .6 b illio n .

A m e ric a n s lik e to tra v e l to K e n y a , a s fo r th is E a st A fric a n co u n try , th e U n ite d S ta te s re m a in s

th e la rg e st s o u rc e o f w e ste rn to u ris m , fo llo w e d b y th e U n ite d S ta te s (U K ), In d ia , C h in a ,
G e rm a n y , F ra n c e a n d Ita ly .

G lo b a l v isits to K e n y a c a m e9to 2 ,0 4 8 ,3 3 4 in 2 0 1 9 , 1 ,4 2 3 ,9 7 1 to N a iro b i, 1 2 8 ,2 2 2 to

M o m b a sa . T w e n ty -se v e n , fo u r h u n d re d a n d fo u rty -s e v e n to u ris ts e n te re d o th e r a irp o rts
b y g ro u n d

T o ta l a rriv a ls in 2 0 1 8 w e re re g is te re d a t 2 ,0 2 5 ,2 0 6 -K e n y a ’s g ro w th in 2 0 1 9 w a s 1 ,1 6 7 % .
 T o g e th e r w ith th e o v e ra ll g ro w th o f 1 ,1 6 7 % , Jo m o K e n y a tt a In te rn a ti o n a l A irp o rt a n d M o i
In te rn a ti o n a l A irp o rt s h o w e d s ig n ifi c a n t g ro w th o f 6 .0 7 % a n d 8 .5 6 % re s p e c ti v e ly .

T h e m a jo rity o f th e e n try p o in ts sh o w e d a d e c re a se o f -1 2 .6 9 % in a rriv a ls a t th e la n d b o rd e rs.

T h is su g g e sts th a t th e g ro w th o f in te rn a ti o n a l a c c e s s to K e n y a w ill c o n ti n u e to b e p o w e re d b y
And the below tourism facts
a ir c ofor
n n e cKenya
ti v ity place it very firmly on the map of MICE tourism at the global

level:
In 2 0 1 9 , K e n y a im p ro v e d fi v e p o s iti o n s to 5 6 in w o rld w id e , w ith in v e sto rs ‘a tt ra c ti v e n e s s u p fro m 6 1
in 2 0 1 8 , th e W o rld B a n k ra n k e d K e n y a a s e a s y -to -u se m a rk e t.
Amidst all these facts, it is also essential to note that 27% of visitors are searching for a new destination,
while nearly a third (32%) are looking for a new resort or town that is more adventurous. Gastronomy is
becoming an increasingly central component of the tourism experience, instead of being a good
experience. Innovative food is required, organic and special diets are provided, and hygiene standards
are high. One simple fact is, the better the experience, the higher are the chances of repeat tourism.
And Kenya, an East African country with an Indian Ocean coastline. Savanna, Lakeland, Great Rift Valley,
and mountain ranges are all in it. Wildlife, like lions, elephants, and rhinos, is at home as well. Safaris
explore the Maasai Mara Reserve from Nairobi, the capital, and the national park of Amboseli, providing
views of 5,875 meters of the Mt. Kilimanjaro of Tanzania. All these factors and technology offer tourists
almost everything they need for their comfortable and happy "Bleisure" stay.

Market Analysis Key Findings

Even though Kenya is losing out to Rwanda on the MICE front as the International community is shifting
its focus towards hosting the conference in neighboring countries. However, with the Vision 2030 and
the plan to put Kenya on the top 50 MICE destination by 2022, is witnessing multiple investments being
made to better the infrastructure and develop new world-class conference centers in Kenya. With KICC,
Kenya possesses an International level conference center with all the potential and technologies to
compete or attract business tourists.

10
 2010

2011 Kenya is one of

the leading
2012 tourism hotspots
in East Africa. The
2013
country offers a
2014 broad range of
tourist attractions
2015 such as sandy
2016
beaches, safari
tours, and
0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 1.8 2
national parks
(Tourist in Million)

Tourists visiting Kenya (Source: Kenya National Bureau of Statistics)

Improving the road conditions, privatization of airports, investments in ports, railways, and other basic
amenities, help better the traveling experience of business tourists. This, when combined with the
natural beauty that Kenya has in offering make it one of the preferred destination to "Bleisure" for
which tourists are now looking to explore new destinations for more adventurous experiences. And with
expected improvement in GDP in the coming years, Kenya is set to become and possess the ability to
meet MICE tourism requirements.

11
Cultural Resources & Business Travel 77

Natural Resources 15

Tourist Service Infrastructure 95

Ground & Port Infrastrucure 70

Air Transport Infrastructure 72

Environmental Sustainability 26

Price Competitiveness 74

Business Environment 70

Safety & Security 129

Health & Hygiene 120

Human Resource and Labour Market 76

ICT Readiness 106

Priortization of Travel & Tourism 21

International Openness 70
0 20 40 60 80 100 120 140

(Kenya Rank out of 136 Countries)

Kenya Travel & Tourism Competitiveness (Source: WEF Travel & Tourism Competitiveness Index 2017)

Kenya ranked 80th in the ranking of the WEF’s Global Competitiveness Index in Tourism 2017 report
among 136 countries, by achieving an overall competitiveness score of 3.6 on the scale from 1 to 7

12
 Competitor Research
Competitor Analysis

Maximum Capacity (Pax) by Events

54 The Safari park hotel has
450 5000 200 the maximum capacity i.e.
2500 500 500 400
10000 for Theatre seating
300
type while the least is 30
350
Meeting for Boardroom seating in
Banquet
1100
Hiton and Golden Tulip
4000 10000 800
450 Reception
700 600
Cocktail
respectively. The average
300
seating is around 1500-
2000 with least numbers in
Golden Tulip and Highest in
Safari Park. All these hotels
serve Bliesure packages

The Safari park hotel has Maximum Capacity (Pax) by Type

the maximum capacity i.e. 250 30
50 30
250 200 110 120
230
10000 for Cocktail events 300
100
5000 100
160
while the least is 54 for 3200 300 40
300
Meeting Events in Golden 420
350 150 150
430
Tulip. Most of these Board
Hotels provide a U-Shape
10000 Class-room
sgregation in meeting 4000
700 600
660 650 700 300 250 Theatre
type namely Cocktail,
Reception, Banquet and
Meeting. Hilton has
categorised itself into
single event type i.e.
Banquet while only
Golden Tulip has Meeting
The three main centers of Kenya very evidently takes up the maximum capacity for all the events and
types of events. With Kenyan centers being ahead in the competition and the Government of Kenya
staying focused on increasing tourism, it is only a matter of time till the world would see Kenya rising to
the top MICE destination in the world.

13
Best Africa MICE facilities

Mice Global Statistics 2015

MICE Industry is dominated by the US and Europe, wherein the key players focus on acquisition and
expansion as the prominent strategy to overcome competition and maintain and improve its market
share in the global MICE industry. The top 5 MICE destination in Africa-

Cape Town, South Africa; Johannesburg, South Africa; Marrakesh, Morocco; Cairo, Egypt; and Nairobi,
Kenya

The Nairobi
Kenyatta Mombasa
International
International International
Convention and
Conference Centre Convention Centre
Exhibition Centre

The Nairobi Hospital

The Panari Hotel Hilton Convention Centre

Safari Park Radisson Blu

Key African Venues

According to ICCA 2018, South Africa took the top position in MICE tourism with a total of 125meetings,
followed by Morocco at position two, with 37meetings. While the position three was held by three
countries which include Egypt, Kenya, and Rwanda all with a total of 18 meetings.
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Top 8 Kenyan venues
Kenyatta International Conference Centre (KICC)

Standing proudly at 30 storeys tall, the Kenyatta International Conference Centre (KICC) was constructed
in 1969 specifically for conference tourism. KICC has 8 meeting halls and delegated exhibition centers to
accommodate a large number of delegates. KICC is rich in MICE heritage, having organized conferences
such as the 2nd East African Invk estment Conference, World Bank, COMESA, World Women
Conference, 3rd Global YES conference, 56th Commonwealth Parliamentary Conference, ISOCARP
Conference, among others. Equipped with cutting-edge technology and the latest equipment, KICC
continues marketing itself and Kenya as a MICE center.

The Panari Hotel

Located just 10 minutes away from the Jomo Kenyatta International Airport and 7km away from the city
center, The Panari Hotel is situated in an ideal location for corporate and casual travelers. The hotel
hosts 12 meeting rooms and state of the art audiovisual equipment and is designed to meet every MICE
event's needs. The hotel also provides decor, catering, entertainment, and secretarial support services
to help event organizers through the planning process.

Safari Park

Situated in Nairobi's heart, the Safari Park Hotel is sprawled across 50 acres, surrounded by natural
landscapes. The hotel boasts of 20 meeting and conference rooms equipped with the latest technologies
in terms of connectivity. They offer to help organizers with technical and recreational services help
organize and manage the events to provide services such as airport transfers, excursions, registrations,
meals, etc.

Radisson Blu

Situated in Nairobi's fast growing business district, Radisson blu is located 20 minutes away from both
the Nairobi National Park and the airport. The 271 rooms and suites are fitted with free WiFi and a
minibar. It also boasts 14 meeting rooms and boardrooms that can accommodate up to 800 people. The
meeting and events staff aims to help the organizers successfully organize and adapt the venue to suit
their needs.

15
Hilton

Situated near the financial center in Upper Hill, the Hilton is one of Africa's tallest developments. With 6
meeting rooms and 287 guest rooms, and an open-air solarium, the Hilton offers a natural touch to the
corporate events. The offer an executive boardroom with rentable A/V technology and multi-lingual
staff to accommodate the delegate's needs throughout the events.

The Nairobi International Convention and Exhibition Centre (NAICEC)

It will be developed at the Bomas of Kenya. NAICEC is a 15,000 ultra-modern convention facility that is
to be developed through a long-term lease arrangement of a private concessions company

Mombasa International Convention Centre (MICC)

It is one of the most ambitious projects for the Government of Kenya and is called Kenya's Vision 2030
flagship project to uplift the tourism at the coast. It will introduce about 15,000 conference capacity to
the region. MICC will raise 10,000 conventional capacity to the coastal region. Plans are underway for
the Kenyan Government to construct a 5,000-seat international convention center in Mombasa

The Nairobi Hospital Convention Centre (TNHCC)

It is the Home of Extraordinary Experiences as a multi-purpose conference and exhibition center in

Nairobi's business and entertainment center hub. It combines the passionate dedication of its capable
personnel with an extensive range of premium venues, services, and facilities. This innovative venue
offers a comprehensive array of international and locally-based services, playing host to prominent
global conferences, trade shows, concerts, and celebrated stage productions.

In East Africa, the Top Investment Hospitality Markets are Kampala, Addis Ababa, and Dar es Salaam,
while the bottom is Nairobi (oversupply) and Kigali (oversupply and limited demand). This means Kenya
has a lot of catching up to do, and it has been well crafted in the Kenyan Government's mind, which is
highly evident in their vision and investments in infrastructure. With a subtle upgrade in infrastructure,
technology, and completion of the ambitious conference projects, Kenya is well placed to lead the MICE
tourism in Africa very soon.

16
Conclusion
Famous for its great wildebeest migration, national parks, and pristine beaches, Kenya is a beautiful
country. It is East and Central Africa’s economic powerhouse, and is popularly known across the globe as
a famous travel and leisure destination. It is evident in the recent times that the country’s hospitality
industry has made great strides – especially with the latest positive developments in the industry.
According to the World Bank, Kenya’s economy is set to be among the top five economies in Sub-
Saharan Africa. This is because growth rates are expected to average 6-7% in the next three years.

Kenya’s focus is slowly shifting to target the corporate travel market in order to match international
guest expectations. According to statistics, Kenya’s hospitality industry contributes an average of 10% to
the country’s GDP, which is higher than the continent’s average of 8.1%. It’s worth mentioning that the
travel and hospitality sector in Kenya is the country’s second largest foreign exchange earner after
agriculture.

For the second time, Kenya was recognized worldwide as the World’s Leading Safari
Destination at the World Travel Awards in 2015

In 2016, Nairobi overtook Johannesburg to be crowned the leading Meetings and Conference
City in Africa

In 2015, the Kenya’s hospitality industry employed 9.3% of the country’s total working
population; this trend went up by 1.1% in 2016, with about 1.5 million people employed in
the industry

If current trends are anything to go by, it is expected that the sector’s contribution to the
country’s employment market will have gone up by 2.9% in 2026

Presently, many luxurious hotels are still under development. It is expected that from 2017 to
2019, more hotels will have opened their facilities to the public

A new development is going on for 45-floor Hilton Garden Inn in Nairobi’s prestigious Upper
Hill area. It is designed to be part of Pinnacle Tower, a 70-floor mixed-use development that
is set to be Africa’s tallest tower

17
 Kenya and Hospitality Industry

Tourism has emerged as a source of economic dynamism in Kenya. The sector is well integrated into the
rest of the economy with strong links in the rural economy that are most prominent in safari tourism.
Among the key sub-sectors of the industry, the safari tourism segment has emerged as the strongest
growth driver as well as the most pro-poor segment.

Kenya is now at a crossroads and must decide how it will develop this lucrative sector. To build upon this
foundation, Kenya needs to play to the comparative advantage of each region and attraction.

What Makes Kenya a Perfect Hospitality Investment Destination?

Improved Improved security has jump started the hospitality sector; as more
tourists started coming in, the numbers increased significantly
Security

Preferred Aside from being centrally positioned on the continent, Kenya is

considered an excellent conferencing location. Many stakeholders
Conferencing including corporate, NGOs, and intergovernmental organizations have
held various high-profile international conferences and forums in
Destination Kenya

Devolved Kenya has undergone massive transformation in its governance

system, which has had a direct positive impact on the hospitality
Governments industry

Growing Middle Kenya has recently witnessed a rapidly growing middle class and
increased urbanization, which has created numerous opportunities in
Class the hospitality industry

Increase in Kenyans are now travelling to various destinations across the country,
both for leisure and business functions
Domestic Travel

18
Due to its stable business environment and steady economic growth, Kenya’s hospitality industry is
definitely set for greater heights. Major goals have been achieved: the improvement of infrastructure, as
well as the simplification of permit acquisition for foreigners keen on investing in the hospitality sector.

According to the 2017 EY Attractiveness Program Africa Report, foreign investors prefer to invest in
diverse economies such as Egypt, South Africa, Morocco, Kenya, and Nigeria. In 2016, these 5 countries
attracted 58% of the entire continent’s Foreign Direct Investment projects. The hospitality industry in
Kenya continues to thrive as days go by, and it’s expected that the country will soon be a prominent
feature among the top destinations in Africa.

19