Sh12bn Mombasa SEZ to create 10,000 jobs as Kenya targets export-led manufacturing

NAIROBI, Kenya, Sep 8 — Kenya has signed a tripartite agreement to develop a Sh12 billion Special Economic Zone in Mombasa, with the first phase expected to create 10,000 jobs and transform the coastal city from a transit gateway into a major manufacturing and export hub.

The County Government of Mombasa, Mombasa Free Zone Ltd and DP World signed the agreement, with President William Ruto witnessing the signing at State House, Nairobi.

The 535-acre project in Jomvu is designed to attract industries involved in manufacturing, processing, assembly and value addition, allowing goods to be produced in Kenya before being exported to regional and international markets.

Ruto said the project was central to the government’s strategy of moving Kenya away from dependence on exports of raw and minimally processed commodities towards a production and export-oriented economy.

“Special economic zones are central to our Bottom-Up Economic Transformation Agenda. They provide the platform to build industries, expand exports, create jobs and link our farmers, entrepreneurs and manufacturers to domestic, regional and global value chains,” Ruto said.

The President said Kenya needed to increase domestic processing and manufacturing to capture greater value from its products.

“We must move away from exporting raw and minimally processed commodities,” he said.

“We must process more of what we produce, manufacture more of what we consume, and export competitive, finished products.”

The Mombasa SEZ will be strategically linked to the Standard Gauge Railway (SGR) and regional transport corridors, providing manufacturers with access to Kenya’s port infrastructure and markets across the region.

In its first phase, the zone is expected to create 10,000 jobs, while positioning Mombasa to serve as a production and distribution centre for the East African Community, COMESA and the wider African market.

The project marks a push to leverage Mombasa’s strategic location and transport infrastructure beyond the traditional role of handling goods destined for Kenya and neighbouring countries.

The development is also expected to provide a platform for manufacturers and entrepreneurs to connect with regional and global value chains while creating opportunities for local suppliers and service providers.

The government has increasingly promoted SEZs as vehicles for industrialisation, offering dedicated infrastructure and an investment environment aimed at attracting businesses involved in production and export.