Investment Options To Awaken Bungoma County’s Economic Potential

Bungoma is a town in Bungoma County of Kenya, bordered by Uganda in the west. Bungoma town was established as a trading centre in the early 20th century. The town is the headquarters of Kenya’s Bungoma County.

Being the headquarters of the region, it borders the Republic of Uganda to the West and lies between latitude 0° 25.3’ and 0° 53.2’ north and longitude 34° 21.4’ and 35° 04’ East.

To the north, it borders Trans-Nzoia district to the East Kakamega district to the south Mumias Butere district and southwest it borders Busia and Teso districts. It covers a land area of 2,068.5 km2 or a quarter of the province.

The town is accessible by air, rail and road from the capital city of Nairobi 450 km away where Kenya’s leading airport-Jomo Kenyatta International Airport (JKIA) is located.

Local flights are available from Nairobi’s Wilson Airport to Eldoret and Kisumu cities both of which are only an hour’s drive away.

Other entry points into Kenya through Malaba and Busia along its western border with Uganda enables one to obtain a visa at the immigration offices there and then a quick drive into the town.

Other entry points into Kenya by road include- Lokichoggio on the border with Sudan from where one can drive through the Arid North West, through Ortum, Kapenguria, Kitale and then Bungoma.

The town is also made up of several satellite towns that have their unique socioeconomic importance to it: Kimililii town, Webuye town located 25 Km from the town home to the Panpaper factory, and Chwele town which is the second largest market in the

Bungoma town in the recent years has seen almost all the major players in the banking and insurance sector setting up camp in readiness for county business and word in the corridors of finance is that Bungoma is the place to be especially for any bank as its retail business rivals that of Kisumu, Busia, Malaba and Eldoret put together with unconfirmed reports that the town is a conduit for over Kshs. 950M daily from various sectors of the economy, key being retail, Sacco’s and government business.

This justifies that it is not only an agricultural town as it were when it was established.

For many years, the town has grown with major opportunities in the agricultural sector, health and education sector in the expansive county of 1,630,934 people contributing a large share of the national product up to 40 percent.

Currently, Bungoma town remains the biggest administrative and commercial capital as well as growing financial centre with all leading commercial banks having set up branches there.

Wholesale and retail trade and Jua Kali (informal sector) is thriving.

Bungoma as a county, has great potential as far as investment opportunities are concerned. It engages in a number of economic activities including agriculture, manufacturing, services, and even retail.

Some of the major banking facilities in the Bungoma County include: Co-operative Bank of Kenya, Consolidated Bank of Kenya, Barclays Bank, National Bank of Kenya, K-Rep Bank, Post Bank of Kenya, Kenya Commercial Bank, Bank of Africa, Equity Bank, Diamond Trust Bank Kenya Ltd.

On the education front a number of colleges have set up camp to empower the local community and they include: Masinde Muliro University of Science and Technology, Moi University Satellite Campus, African Institute of Research and Development Studies, Kenyatta University, Sang’alo Institute, Kibabii TTC, Kibabii University Kisiwa Institute and Kenya Medical Training Institute KMTC.

Manufacturing

Bungoma has two major manufacturing industries, these are, Rai Paper Formerly Pan Paper Mills (East Africa) and Nzoia Sugar Company limited. Both of these companies have been undergoing major challenges in which Pan paper collapsed in 2009, it was revived but the company is still operating in low scale.

Nzoia Sugar Company Limited, on the other hand, has been experiencing frequent closures occasioned by mismanagement. With Bungoma having sugarcane as its major cash crop there is an opportunity for a manufacturing industry to be established that can process the produce into finished goods such as ethanol, sugar, bioplastics, renewable energy and biodegradable paper.

Construction

Bungoma is still a developing county in terms of infrastructure, the government is embarking on development projects such as the construction of the Lower Nzoia irrigation project. There are roads in Bungoma that are yet t