Trade and Investments Cabinet Secretary Moses Kuria has given the investor behind China Square a new option for operating in Kenya after order to close operations along Thika Road.
Kuria announced that he had given the go-ahead for the buyout of the lease given to China Square, a newly opened store at Kenyatta University’s Unicity Mall.
“I have today given an offer to Prof Wainaina the VC Kenyatta University to buy out the lease for China Square, Unicity Mall and hand it over to the Gikomba, Nyamakima, Muthurwa l and Eastleigh Traders Association,” the CS stated.
However in a fresh statement, the CS said he was willing to help the businessman known as Lei Cheng set up a manufacturing venture where he would work with other business associations in Nairobi.
“I will assist China Square Owner Mr Cheng to set up a manufacturing plant in Kenya and work on a distribution partnership with Gikomba, Nyamakima, Eastleigh, Kamukunji, Muthurwa and River Road Traders,” Kuria said.
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The CS insisted that trading was not investment and that Chinese investors were only welcome only for manufacturing.
“We welcome Chinese investors to Kenya but as manufacturers, not traders, trading is not investment,” Kuria noted.
Cheng however noted that his business is legal and that he had met all government requirements to operate in Kenya.
Cheng pointed out that if other foreigners could do business in the country, then the Chinese were no exception.
“My business is legal and centred on healthy competition. We have cooperated with all government directives for opening a business in Kenya and we are here to break the monopoly.
“If other foreigners can do business in Kenya so can Chinese because we have done nothing wrong,” Cheng said.
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The store announced that it would temporarily close to restrategize its business operations in the country.