Local
firms are setting up operations in neighbouring East
African
countries and beyond, in the hope of tapping into the fast
growing ICT industry
in the region.
 |
| Nairobi, Kenya |
According
to a new report, Kenyan
firms are
dominant in the region, with 17 per cent those that were surveyed
saying they either have operations or implementing projects in the
neighbouring countries. Larger and mature firms have been able to
spread their tentacles further a field, with some setting up
operations as far as West and Southern African countries, and a
select few selling their products or undertaking projects in other
continents — including Asia and Latin America.
The
Julisha survey released last week notes that Uganda seems to be the
darling of Kenyan
firms,
with 24 per cent of the local ICT firms
that responded to the study saying they had operations in Uganda,
despite being relatively smaller compared to other markets in the
region.
“While
Uganda is a smaller market than Ethiopia and Tanzania, more local
players have invested there (23.9 per cent) compared to 14.1 per cent
and 19.7 per cent in Ethiopia and Tanzania respectively. This is
mainly due to the more relaxed investment environment in Uganda,”
said the survey by Kenya ICT Board.
Main
focus
“Southern
Sudan has recently become a main focus area for local players,
despite the high risks of operating in that country and its high
dependence on oil for foreign exchange. Nonetheless, some companies
are willing to take risks, especially to pursue opportunities in
government and with International NGOs.”
Among
the other countries where about 17 per cent of local players either
have a presence or are undertaking major projects include India, the
United Arab Emirates, Mauritius, Ghana and Nigeria. Other countries
where Kenyan
firms have
a presence are the Democratic Republic of Congo, Malawi, Mozambique,
Zambia and Zimbabwe.
By Macharia Kamau ,standardmedia.co.ke