Konza Technopolis: Kenya’s Premier Smart City & Special Economic Zone

Unlock Investment Opportunities and Explore the Benefits of Kenya’s High-Tech Special Economic Zone

One of Africa’s most promising smart cities, Konza Technopolis, is taking shape as a model for sustainable, tech-driven urban development. Strategically located 64 kilometers from Nairobi, Konza promises to be a hub for technology, education, and investment, offering exceptional special economic zone (SEZ) benefits and cutting-edge infrastructure.

Key Features of Konza Technopolis

• Proximity to Nairobi: Konza is just 64 km away from Kenya’s capital, offering easy access to a major economic center.
• $800 Million Invested: Over $800 million has been committed to the city’s development so far.

• Phase 1 Progress: Phase 1 includes 147 parcels of land, with 100 allocated to investors.

• 5,000 Acres of Development: Konza covers 5,000 acres, with 1,000 acres preserved as a wildlife corridor.

• Sustainable Infrastructure: The city has a recycling plant for sewer and water management, and underground utility tunnels to manage essential services.

• Data and PropTech Hub: Konza features a dedicated data center and Proptech infrastructure to manage and monitor city operations efficiently.

• Educational Hub: Three universities are planned, with one already operational, making it a center for education and research.

• Population Growth: The city is projected to house over 250,000 residents.

Why Invest in Konza Technopolis?

Konza Technopolis offers a range of lucrative special economic zone (SEZ) benefits for businesses and investors. These incentives are designed to make investment attractive by reducing costs and simplifying administrative processes.

Here’s a breakdown of the key SEZ benefits:

1. Corporate Tax Incentives:

   • 10% corporate tax for the first 10 years.
   • 15% corporate tax for the subsequent 10 years.
   • After 20 years, the corporate tax reverts to the standard 30%.

2. Value Added Tax (VAT):

   • Perpetual VAT exemption for all goods and services supplied to SEZ firms.

3. Stamp Duty Exemption:

   • SEZ businesses are exempt from stamp duty on any documents or instruments related to business activities.

4. Withholding Tax (WHT):

   • WHT reduced to 5% on payments to non-resident persons for services such as interest, management fees, and royalties.

5. Investment Deduction:

   • Investors enjoy a 100% investment deduction on construction and machinery purchases, boosting capital investments significantly.

6. Excise Duty Exemption:

   • SEZ firms benefit from a perpetual exemption from excise duties.

7. Import Declaration Fees (IDF) & Railway Development Levy (RDL):

   • Complete exemption from IDF and RDL, reducing the cost of importing goods into the SEZ.

8. Right Against Expropriation:

   • Investors are assured that their property will not be expropriated for public use by the government.

9. Repatriation of Capital & Profits:

   • Foreign investors can repatriate capital and profits freely, without restrictions from the Kenyan government.

10. Export Levy Exemption:

• Goods exported to SEZ firms are exempt from export levies, encouraging international trade.

11. Work Permits:

• Licensed firms in the SEZ can obtain work permits covering up to 20% of their full-time employees, streamlining the hiring process for foreign talent.

12. Administrative and Procedural Exemptions:

• SEZ firms are exempt from various administrative hurdles, such as rent and tenancy controls, certain county government fees, liquor licenses, and even some national licenses related to tea, precious metals, and filming.

13. One-Stop Shop for Regulatory Approvals:

• Konza offers one-stop approval for permits, licenses, incorporation papers, and even on-site customs and immigration services, simplifying the process of setting up and running a business.

14. Market Access through Global Partnerships:

• SEZ firms enjoy expanded market access through Kenya’s membership in global organizations like the World Free Zone Organization, opening doors to a larger trade network.

Sustainable Smart City Infrastructure

Konza Technopolis is built with sustainability at its core. The city features:

• Underground utility tunnels to streamline maintenance and reduce surface congestion.
• A centralized data hub for smart property management and efficient monitoring.
• An advanced sewer and water recycling plant that contributes to environmental sustainability.
• Future-proofed infrastructure to support green energy and smart waste management systems, ensuring long-term livability and resilience.

Konza: Pioneering the Future of Smart Cities in Africa

Konza Technopolis isn’t just a city; it’s a blueprint for Africa’s smart city revolution. With substantial progress in Phase 1 and plans for further development over the next two years, this city is set to redefine the future of urban living in Kenya and beyond.

Investors have the opportunity to participate in a city that offers a world-class investment environment with attractive incentives and cutting-edge infrastructure. Konza is more than just a city—it's a symbol of Africa’s economic and technological growth.

Konza Technopolis is quickly becoming the model for smart cities in Africa. From advanced infrastructure and sustainable development to investor-friendly incentives, Konza offers an unparalleled opportunity for businesses and developers looking to be part of the continent’s future.