Abacus Wealth Management

Why Konza City Could Work

It’s been widely covered by technology journalists, opinion writers, and bloggers. It’s Konza city, and this city will be at the centre of the “Silicon Savanna” concept – not so much location –  that many have of Kenya at the moment. The real estate bubble is rather large already, and the booming ICT sector is fuelling it. KES 588 billion is an enormous sum to foot up for such an ambitious city.

Konza city will be 60km away from Nairobi in what was formerly dry grassland that one never looked twice at. It will be 2000 hectares of businesses, educational institutions and homes. There will be green belts and open spaces as well. It’s an idea that deserves to succeed as one of our vision 2030 schemes.

I’m a little skeptical about mostly because of the following factors.

Commitment from the government is not as strong as I’d like it to be. Their website needs to be updated more and awash with more content, if I were a foreign investor I’d be very skeptical about the level of information being offered.

Athi River, Mavoko and Kitengela may offer cheaper housing opportunities. If the property values are too high when the project is complete then these three places will most likely offer cheaper housing opportunities. I mean a 2 bedroom apartment can be found in Kitengela for as little as Ksh15000.

Infrastructure needs to be looked into. We need trains in this country, vehicles aren’t the only transport solution. A working rapid rail systems between Konza and Nairobi  city would be quite effective. The sewer system also has to be one that works on its own, not just one that will be plugged into the local grid. Self sustenance is an important concept we Kenyans need to learn more about. The traffic system will have to be a smarter one as well, we can’t move traffic jams from one city to another, the whole problem of congestion needs to be eliminated. Biking lanes would be a nice addition as well.

Educational institutions need to pledge themselves to the location of the city. I’ve not heard any educational institution mention that they’ll have a campus at konza city. Everyone’s playing a “wait and see” game to see if the idea will be successful. Local universities have campuses in the Nairobi central business district after watching KEMU (Kenya Methodist University) pioneer the concept of a campus there.

Entertainment for everyone needs to be present. Konza won’t just have tech boffins, it will have service people as well and they need entertainment to match their level. There basically needs to be entertainment and recreation services that will suit everyone’s wallet. I long for the day when we get a new Stadium, Nyayo stadium is quite dated in design and capacity.

The government also needs to make doing business in Kenya easier for foreigners. This would attract more business, and tourists as well. If we had incentives for ICT companies, BPOs and the arts industries it would truly make the city a very attractive offering.

Lastly, a working management group to manage the city. My sincere hope is that Konza city’s council will not just be a borrowed leaf from the ever failing Nairobi city council. Let it’s council be a model for more cities to come. Controls need to be in place for transparency, let graft be a thing of the past.

I do hope the grass there will get greener with time.

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