C-suite level and senior executives in the region prefer investing in Tanzania than Kenya according to a report released by KPMG International Limited, a multinational professional services network.
Kenya was tied fourth alongside Ghana as the preferred capital destination behind Tanzania which made significant strides in establishing itself as a powerhouse.
South Africa emerged as the best capital destination followed by Nigeria and then Tanzania.
The survey findings showed they expect the oil and gas, consumer goods, mining, fintech, and industrial sectors to attract the bulk of inward investment.
In July, President Samia Suluhu Hassan took a swipe at the economy of an unnamed neighbouring country that she says is losing investors to Tanzania because of instability.
In a viral video that has drawn mixed reactions from Kenyans, the President claimed that the country was “burning” forcing a number of investors to flee.
She said her country had received an unprecedented number of investors and that their businesses would transform the country’s economy.
According to President Suluhu, investors will not stay in an unstable environment that threatens their businesses.
“Between May and June, we received many investors like never before. As you can see, the reason is that the neighbour’s home is on fire,” Suluhu stated.
Different tax regimes also sent cold feet to some investors forcing them to leave the Kenyan market.
