Kenya has attracted a record $3.2 billion in Foreign Direct Investment (FDI) in 2025, up from a revised $2.32 billion in 2024, according to data from UN Trade and Development cited by local investment authorities. This significant increase highlights the country's growing appeal to global investors. The investment has been diversified across various sectors, including telecommunications, banking, beverages, cement, manufacturing, technology, and energy.
One of the biggest deals is the acquisition by Japan's Asahi Group Holdings of a 65 per cent controlling stake in East African Breweries Plc (EABL) from Diageo for approximately $2.3 billion. The Kenya Competition Authority approved the transaction in September, subject to conditions. EABL is a regional business headquartered and listed in Nairobi, with operations extending into Uganda and Tanzania, making this deal a significant investment in an established East African platform.
The telecommunications sector has also seen a significant transaction, with South Africa's Vodacom completing the acquisition of an additional 20 per cent effective stake in Safaricom in June, taking its effective holding to approximately 55 per cent. The transaction was valued at $2.1 billion and involved the acquisition of a 15 per cent stake from the Kenyan Government and an effective additional five per cent from Vodafone Group. Kenya retained a 20 per cent stake in the company.
In the banking sector, the Central Bank of Kenya approved Nedbank's acquisition of a 66 per cent majority stake in NCBA Group on August 28, 2026. The transaction is expected to help maintain stability, strengthen resilience, and promote competition in the banking sector. NCBA already has operations beyond Kenya, including Uganda, Tanzania, Rwanda, and Ivory Coast, giving Nedbank a larger regional platform.
The cross-border investment wave is also visible in the cement sector, with Tanzanian conglomerate Amsons Group acquiring a 99.9 per cent controlling stake in Bamburi Cement Plc for approximately $183 million. Amsons Group also acquired East African Portland Cement (EAPC) shares from Holcim-linked companies for about Sh719 million, giving the group approximately 41.75 per cent of EAPC.
A new investment of $16 billion is emerging in Lamu, where Nigerian industrialist Aliko Dangote has begun construction of an oil refinery and petrochemical complex. The project is expected to process approximately 700,000 barrels of crude oil a day and serve markets stretching from East Africa into the wider region. However, the investment has also exposed tensions, with local residents and conservation groups raising concerns over land rights, compensation, environmental impacts, and the proximity of the project to Lamu Old Town, a UNESCO World Heritage Site.
The Kenya Investment Projects Catalogue, published by Invest Kenya, identifies a pipeline of approximately $40 billion in bankable investment opportunities across various sectors. Invest Kenya chief executive John Mwendwa said the catalogue is designed to move the investment conversation from general interest to identifiable, financeable projects. The government's international investment campaign has expanded the pool of potential investors, with President William Ruto's international roadshows and investment promotion efforts helping to increase Kenya's reach.
Key points
- Kenya attracted a record $3.2 billion in Foreign Direct Investment in 2025
- The country's investment market is increasingly becoming a destination for strategic acquisitions as well as new capital
- A pipeline of approximately $40 billion in bankable investment opportunities has been identified across various sectors
