The future of construction industry in Kenya

The Kenyan construction industry is expected to see exponential growth as the government and private developers increase investments in infrastructure and housing.

The positive growth of the industry is marked by two major factors:

  •  the huge deficit in infrastructure – including rail, roads and ports-, make absotely necessary the public investments in such projects.
  • the rapid growth in population, which has led to a soaring demand for housing in most parts of the country.

Despite the recent slowdown in the world economy, the Kenyan construction sector has remained buoyant as reflected in the increased investment in both commercial and residential buildings over the past few years.

According to data from the Kenya National Bureau of Statistics, the construction sector grew by 10.7 per cent in 2011 boosted by massive road construction projects and increased activity in the real estate sector.

The Construction industry accounts 5 per cent of Kenya’s GDP and employs at least one million people.