Cheap imports, high costs: Why many businesses are closing shop

Eveready closed its battery factory in 2014. FILE | NATION | NATION MEDIA GROUP.

What you need to know:

  • About 2.2 million small enterprises have closed shop over the last five years, underlining the tough challenges that the local business climate poses for investors.
  • The highest number of establishments shut down was in 2015, accounting for 35.4 per cent of the total number of closed enterprises in the last five years.
  • About 1.2 million were closed in rural areas compared to one million in urban areas.

A wave of company closures which has hit Kenya over the recent past has raised questions about the state of business environment in the country.

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