What makes Kenya a major entrepreneurs' paradise

Many Kenyans believe you can’t make money honestly. You have to be either corrupt or inherit wealth.

They argue that without major innovations like Facebook, Microsoft, Tesla or manufacturers like Toyota, Hyundai or oil wells, making honest money is impossible. While there is some truth in that, Kenya is still a country you can make money without being corrupt. And lots of it! 

Let’s start by adding that the centralised form of government before the 2010 constitution made proximity to political power an easy path to money and wealth.

Some think that the system has been devolved into counties.

Centralised procurement and provision of services meant more money was pooled, and players could make more cash through contracts, rent-seeking or plainly said, corruption.

You could also make money by being privy to strategic information. Do you recall the secret behind national budgets in the past? Suppose one knew in advance which prices would go up or down? Most readers here are too young to recall the controlled price regime. 

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Enough digression. Why is it possible to make money honestly?

One, we are a relatively open market. It’s easy to enter the Kenyan market at any level. You can start a side hustle at home, in the streets or even online.

Foreigners find it easy to enter our market, more so when there is a firm belief that imports are superior. Seen ex-UK or ex-Germany products? Think of mitumba clothes. 

From our names to hair, cars and even food stuffs, we love imports.

Think of services: We love studying abroad (majuu) and getting medical services there too with India, Turkey and Singapore becoming favourite destinations. We also treat foreigners better than indigenous Kenyans. 

Two, let’s give credit. The government has played a role in giving us better regulation, and infrastructure like roads, power and other public goods. They may not be the best, but we are doing better than many countries.

Visit Kamakis or Kitengela and get an idea of how roads can open up economic opportunities. My prayer to any government is, give us roads and we shall do the rest. By the way, my village has no tarmac, 130 years since Kenya became a British protectorate. More of that soon.

Three, we love being “exploited “. It’s honourable to pay higher prices and boast about it! It’s a status issue. We feel good when we can pay a high price even when we know we can get it cheaper.

I recently paid Sh450 for half a litre of water in a five-star hotel. I knew the price was Sh50. But how else can I show my friends that I can afford it and I am not “a coachroach?” 

Noted how we disdain bargaining? Who wants to be thought of as poor?

We aspire to pay higher prices and upgrade our status and class. Markets take advantage, making us feel “guilty” for not upgrading; from beer to “aged whisky,” from a hatchback to an SUV or a leafless suburb to a leafy one.

We don’t want to be left behind. There is an invisible audience to impress. Remember Thorsten Veblen’s conspicuous consumption?  We naturally associate price with quality, excluding dowry. 

Four, we dislike local products or services. We know too much about them. Familiar breeds contempt.

Imports ensure some unfamiliarity. We remove familiarity through “internationalisation.” Get consultants or other professionals with international experience or who have foreign credentials? That includes preachers. Then charge a premium.

Even in academia, there is prestige in quoting Johnson and Lambeth instead Kamau and Onyango even when the topic is on a local issue like witchcraft. 

Five, Kenyans are innovative and seek new ways to make money.

M-Pesa is one of the many innovations. From the city streets to villages, innovations, mostly frugal, are numerous. Some are extreme, like quails.

Should we add betting? Get an innovation, and Kenya allows you to make money out of it. Remember all the tech startups in Kenya, some with links to Silicon Valley? 

Six, it’s easy to make money because too few Kenyans believe it’s possible. The few who believe in possibilities make their money without any competition. 

House prices

Seven, strategic location, between south and north, east and west. Add endless sunshine and fine weather. Just go through a winter!

Used to endless sunshine, we don’t see the value of fine weather.

Is the weather one reason house prices are so high in Nairobi? Is affordable housing cooling the house prices? 

Eight, Kenyans are willing to make you rich, and they are hardworking. Their productivity is their job security in a sea of joblessness!

They are well educated and you get value for your money. When they make money abroad, they send it here to help you make more money! 

Nine, the evidence of this paradise is exemplified by the influx of foreigners chasing fortunes. They have been coming for centuries; Persians, Arabs, Portuguese, British, Indians and now Chinese and other nationalities.

They can smell money better than us. We are too intoxicated by politics. Finally, there are enough facilities to spend and enjoy your money, from beach hotels to national parks.

Let’s also hear from the entrepreneurs on what makes Kenya their paradise.