Kenya Construction
The Kenyan construction overview 2012-2015

The Kenyan construction industry is expected to see tremendous growth a result of increased population and government spending on major infrastructure projects around the country.

According to industry analysts, the residential construction sector will grow as both the government and private developers try to keep up with the soaring demand for housing – occasioned by the rise in population.

Extensive opportunities exist in the construction of middle and low income housing (including prefabricated housing), manufacture and supply of building materials, renovation and rehabilitation of transport infrastructure.

The rates of non residential construction are expected to grow in the next decade since the demand for commercial complexes and shopping malls will continue to escalate. During this period many industrial plants will need replacing while many commercial buildings will need to be rehabilitated. This will translate into more sectoral growth.

Power plants and energy related infrastructure will also keep growing with the passing of time. Despite the fact that Kenya wants to become more energy efficient, there is still high demand for power. In keeping up with this demand, the Kenya government together with a private sector player intends to develop 500 MW of additional geothermal capacity over the next four years.

Civil engineering construction should also grow enormously, thanks to the massive construction and rehabilitation of highways, airports, ports and bridges.

Among major projects currently underway or scheduled to kick off in the near future include construction and rehabilitation of major highways  including the multi-billion Thika-Nairobi superhighway, rehabilitation of airports and the construction of Lamu port.

The government in conjunction with international development agencies will continue to approve spending for road construction and other infrastructural development projects. In particular, construction projects at the County level, which are aimed to facilitate operations of the devolved government (as per the new constitution) will spur growth throughout the country.

Currently, firms linked the construction sector such corrugated sheet makers and cement manufactures have embarked on expansion plans to take advantage of the increased activity in sector.