Kenya’s technology sector has become the country’s leading destination for foreign direct investment (FDI), overtaking banking and manufacturing for the first time, according to the country’s 2024 Foreign Investment Survey Report. The information and communication sector accounted for 38.6% of Kenya’s total FDI stock in 2023, marking a historic shift in investor priorities.
The banking sector, long the dominant recipient of foreign inflows, followed with 27.6%, while manufacturing attracted 16.7%. The findings highlight how global capital is pivoting toward digital growth opportunities, with Kenya increasingly viewed as a hub for innovation and technology services.
The shift can be linked to the rapid rise of fintech, data centers, digital infrastructure, and startup ecosystems that have reshaped Kenya’s investment landscape. Venture capital inflows, international partnerships, and major infrastructure investments, including undersea cables and cloud facilities, have boosted the country’s profile as Africa’s “Silicon Savannah.”
The transformation represents broader trends across the continent, where technology is emerging as a driver of economic growth. For Kenya, continued innovation, digital inclusion, and regulatory stability will be key in sustaining momentum and solidifying its role as both East Africa’s financial hub and a continental leader in technology investment.
