A new survey has placed Uganda at the top of the list for Kenyan small and medium enterprises seeking to grow beyond the local market.
The 2018 Top 100 survey by Nation Media Group and KPMG found that 78 per cent of local SMEs had opened branches in Uganda. Tanzania followed at 59 per cent, while Rwanda stood at 41 per cent.
Respondents pointed to easier movement of goods between Kenya and Uganda, political stability, and what they described as mutual government support for trade as the main reasons for choosing the neighbouring country.
Interest in Uganda appears likely to continue. The survey said 61 per cent of the SMEs questioned were willing to expand there in the next few years.
“From 2009, we have consistently seen that most SMEs are inclined to set up their first operations in Uganda then Tanzania. From an East African perspective, Uganda remains our biggest business partner,” Maurice Gachuhi, senior manager at KPMG Kenya, said on Thursday.
The Top 100 survey, launched in 2007, is a joint initiative by Nation Media Group and KPMG. It is designed to identify and recognise the country’s fastest growing medium-sized companies and highlight standout entrepreneurs.
Gachuhi made the remarks in Nairobi during a pre-awards conference held by Nation Media Group and KPMG ahead of the 11th gala dinner scheduled for Friday.
