Construction in East Africa continues to grow robustly contributing considerably to the regions GDP. In Kenya the construction sector has continued to grow by over 13% since 2014 with increased funds going towards the improvement of the country’s infrastructure with the building of roads, railways and rehabilitation of road works. Increased competition between the counties as each attempts to beat the others in improving the local network of roads so as to get goods and services to reach the nearest markets has also resulted in the rapid growth of the sector. These activities have jointly contributed to construct industry’s substantial jump to make it the best performing sector in 2014, 2015 and 2016.
NCA and Building Policies
Despite the construction sector in Kenya growing at an annual rate of 13.1% as of 2015, Kenya is facing an uphill task with implementation of national construction policy with the mushrooming of illegal settlements and informal developments along rivers. However, as laws are being put in place to give the National Construction Authority (NCA) more powers to regulate the sector there appears to be light at the end of the tunnel and stackholders have hope that at long last the industry shall be streamlined.
Kenya Coast Building Construction
The Kenya Coast has been growing at an extraordinary rate with regard to building construction, most of the construction being related to accommodation in hotels, cottages and chalets areas like Malindi, Lamu, Mombasa, Diani, Kilifi and Mtwapa. These being key areas of property developments at Kenya’s premier beach holiday destination with the highest numbers of visitors staying in holiday resorts. Both local and expatriate private entrepreneurs have been investing in this sector because of the high returns with the result that this is one of the fastest property and building development growth sectors in the East and Central African region.