Kenya is actively attracting new businesses, but a growing number of established companies, particularly in manufacturing and the SME sector, are struggling due to a combination of rising costs and a less predictable operating environment.

• Over 130,000 new businesses are registered annually in Kenya.
• Existing businesses face pressure from high financing costs, elevated energy tariffs, increased taxes, port inefficiencies, and geopolitical tensions affecting supply chains.
• The article argues for a greater focus on the survival and competitiveness of existing businesses, rather than solely on new entries, to strengthen Kenya's industrial base and export growth.