Top five investment opportunities right now in Kenya

By Steve Biko Wafula / March 30, 2018

money-investing-finance-markets

Today I decided to prowl the net and see what makes people do the stuff they do on Fridays. Well, I came across the hashtag #TumiaPesaIkuzoee and I asked myself, what’s the best way to use the money for it to get used to me? Spend it as I want as fast as I get it or do I invest it to create more revenue streams for me to spend it better?

As I thought about this, it hit me, the best way to use money is to invest it. I have heard many people say that the poor people all they do is spend their money whilst the rich folks invest first before they spend. Don’t know how true this is as am in an ecosystem that can’t seem to define where I fall really.

best-way-to-use-money

I kept thinking, it’s an election year, there is fear in the air, whether true or not, it’s affecting the follow of capital in the economy. Not to mention the fact that banks are only lending to the government and the government’s not paying SMEs and other suppliers. So it’s a 20-20 kind of situation and jobs are being cut, the unemployment rate is going up, no wonder no single politician is talking about this.

So, the best way to use money? Am thinking despite the challenges we face as a country, there are hidden opportunities where if one understood :

  • Their risk tolerance
  •  The market needs i.e supply and demand
  • The regulatory ecosystem
  • The Customer needs
  • The competition
  • The issue of inflation as it affects the aspect of savings

Then one can be able to invest, which is the best means of using money and make some good returns as we go through the turbulence of the forthcoming elections and the legal post-election issues.

These opportunities are in the following sectors of our economy:

  • Investing in agriculture through mechanization and modern-day farming techniques.

With the drought ravaging certain parts of the country and the EA region, food is going to be pricey. Ugali flour is now Retailing at Sh 187 for a 2kg packet. This is just crazy given that Ugali is the staple food for Kenyans. This is a huge opportunity to feed over 200M people in the region. It’s capital intensive but the risks are low and the returns are high.

  • Investing in the PR and Branding sector

With the elections coming soon, with over 10000 aspirants gearing for the elections, branding is a big opportunity for many especially the youth to take advantage of this. This particular sector will control most cash flow in the political game.

PR comes through the issue of content Development, social media engagement, and artwork. This is the perfect sector for the youth to engage in. If they joined hands, they would reap good returns in the sector which is not capital intensive, and risks are really low.

  • Investing in the Logistics sector

Perfect time to have you hired out. Why? Every aspirant is looking for cars. Or better still, the likes of uber, Little Cab and et al are looking for cars to handle the ever-increasing motor transport demand. With an increasing population, Kenyans need more cars to handle their travel plans. The hailing apps have shown the hunger here. It’s capital intensive but since its asset-based, certain banks are financing this such as Coop, NIC, and Sidian.

  • Investing in the Retail sector

This is one sector that needs a serious and proper disruptor. It’s been in the hands of few and as the population explosion is happening, with customers having more diverse options, the sector needs to adapt too. Investments in online shopping platforms, online delivery platforms, price comparison platforms, credit availing platforms, commodity holding apps which link the market and the retailer or the customer are some of the few areas one can invest in.

retail-sector

Supply chain management is a big issue as far as retail is concerned and in Kenya, cartels control this aspect. It’s high time this was disrupted.

  • Investing at the Nairobi Securities Exchange

For me, this is the best way one can make money right now. The NSE has been performing dismally for the last couple of quarters due to a myriad of reasons, some being a poorly performing economy, lack of investor confidence, lack of investor awareness for the local investor and too many profit warnings from the listed firms.

To many, this presents a bad omen, to me, this is the perfect time to enter the market when the bear is ruling and the bull is bleeding profusely. Yes, it will take time for the bull to heal and for the bear to be shown the down, which means, in between, is the perfect time to get in, get your front seat and wait for the wind to hit the sail and the NSE will soar.

It’s not capital intensive and though the risks are high, right now in Kenya it’s the best way to #TumiaPesaIkuzoee

Move your windows based stock trading applications to the cloud for on demand monitoring & lag free transactions with hosted virtual desktops from CloudDesktopOnline. Learn more about hosted virtual applications by visiting www.Apps4Rent.com.

Related: Smart Investments Involve Diversification and Informed Decision-Making

 



About Steve Biko Wafula

Steve Biko is the CEO OF Soko Directory and the founder of Hidalgo Group of Companies. Steve is currently developing his career in law, finance, entrepreneurship and digital consultancy; and has been implementing consultancy assignments for client organizations comprising of trainings besides capacity building in entrepreneurial matters. He can be reached on: +254 20 510 1124 or Email: [email protected]

View other posts by Steve Biko Wafula



Other Related Articles








SOKO DIRECTORY & FINANCIAL GUIDE

ARCHIVES

2018
  • January 2018 (291)
  • February 2018 (221)
  • March 2018 (279)
  • 2017
  • January 2017 (183)
  • February 2017 (195)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (206)
  • July 2017 (190)
  • August 2017 (196)
  • September 2017 (186)
  • October 2017 (236)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (167)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (246)
  • June 2016 (183)
  • July 2016 (271)
  • August 2016 (250)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (244)
  • December 2016 (154)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (109)
  • May 2015 (117)
  • June 2015 (121)
  • July 2015 (150)
  • August 2015 (157)
  • September 2015 (189)
  • October 2015 (171)
  • November 2015 (174)
  • December 2015 (208)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950