Deputy President Kithure Kindiki met with governors on January 6, 2025, to discuss the progress of the first phase of the County Aggregation and Industrial Parks (CAIPs) initiative. The meeting, led by Council of Governors chairperson Ahmed Abdullahi, highlighted the advanced construction of the first cohort of 19 CAIPs and the ongoing efforts for the second cohort, which includes 16 additional parks.
Kindiki emphasized that the national government would continue to partner with county governments to ensure the establishment of CAIPs across the country. The CAIPs aim to bolster Kenya’s manufacturing sector, particularly through agro-industries, by enhancing the competitiveness of the agricultural sector sustainably.
The first phase of the CAIPs, covering counties like Busia, Bungoma, Nakuru, Migori, and others, is progressing with a Sh4.7 billion budget. Out of this, Sh4.5 billion is allocated for the physical establishment of the parks, while Sh200 million is designated for coordination, monitoring, and county support. Kindiki stressed that the initiative requires careful planning and stakeholder involvement, including investors, for effective production and marketing of the aggregated products.
The CAIPs are central to Kenya Kwanza’s Bottom-Up Economic Transformation Agenda, which envisions one park in each of the 47 counties. The government is working closely with county leaders to ensure that these parks not only provide infrastructure but also align with local economic needs.
In addition to the CAIPs, Kindiki also reviewed the progress of Special Economic Zones (SEZs) and Export Processing Zones (EPZs). Four such zones, located in Kirinyaga, Murang’a, Eldoret, and Busia, are currently 50% complete and are expected to be finished by June 2025. The government is focusing on providing essential services like roads, water, electricity, and ICT infrastructure to ensure that the SEZs/EPZs are fully operational as soon as construction concludes.
The CAIPs and SEZs initiatives represent a significant push by the government to transform Kenya’s manufacturing sector and create sustainable economic opportunities across the country.
