County Digitizes Licensing for Manufacturing Companies

County Digitizes Licensing for Manufacturing Companies — Streamlining Business in Kenya
Nairobi — In a push to modernize business services and support the growth of manufacturing, several Kenyan counties are rolling out reforms to digitize licensing and standardize procedures for companies — including those in the manufacturing sector. Under the County Licensing (Uniform Procedures) Act, 2024, which was assented on 28 June 2024, counties are required to implement electronic systems for issuing, renewing, and managing licences.
The reforms aim to replace cumbersome, manual processes that have long burdened businesses. Under the old system, manufacturers often had to navigate multiple permits — sometimes across different county jurisdictions — creating delays, inconsistencies, and unnecessary costs. The Act mandates a unified licensing framework, simplifying the process and offering a single point of application for what used to require several licences.
A recent example is in Nairobi County Government, which recently launched an electronic Unified Business Permit (UBP) — a consolidated platform combining business, fire, food, health, and advertising licences into one digital permit.
Business owners and manufacturing firms responding to the changes have welcomed the update, noting that digitization reduces bureaucratic bottlenecks, improves transparency, and boosts predictability — all critical for long‑term investment planning. Observers say the reforms could significantly improve Kenya’s industrial climate, especially for small and medium manufacturers who previously struggled with the high cost and complexity of compliance.
Looking ahead, if counties continue to implement the law effectively, the digitized licensing system could unlock broader economic benefits: making it easier to start and operate factories, encouraging formalization of informal enterprises, attracting local and foreign investors, and helping counties improve their revenue collection. As Kenya works toward industrial growth and competitiveness, the digitization of licensing may prove a cornerstone of a more efficient, business-friendly environment.