The Government is seeking to reduce state participation in industry by divesting from companies where it holds an interest. Kenya has some 900 major manufacturers. There are over 200 multinationals in the country mainly from Britain, France, the US and West Germany. Total registered foreign investment is estimated to be in excess in one billion dollars. There is considerable scope, within, the agricultural sector, for diversification and expansion, particularly in the area of non-traditional exports.
Tourism is Kenya's second largest foreign exchange earner.
The enduring appeal of the country's scenery, wildlife, climate and tropical coastline has allowed the establishment of a large hotel industry and a sound tourism base. Kenya has the best developed hotel industries in sub-Saharan Africa, offering on an average some 31,400 beds per night. The high standard of services in Kenya hotels is assisted by the Utalii College which offers training programmes in all aspects of tourism and catering. The average increase of visitors outstrips the available infrastructure and significant opportunities exist for providers of more specialised resorts and activities, health spas, water-sports facilities and novelty attractions which develop the appeal of spectacular but hitherto relatively little visited parts of the country. There are no legal limitations on the percentage of foreign ownership but general preference is given to those projects with Kenyan participation, guaranteed export markets , potential for employment of labour , or those with a rural base .