In a strategic partnership signed on Thursday between Invest Kenya and Jumia Kenya are committed to collaborating to develop the country’s e-commerce industry in a bid to attract investment, foster innovation, create jobs and promote inclusive economic development.
The commitment was made during a meeting at Jumia East Africa headquarters in Nairobi between an Invest Kenya team led by their Chief Executive Officer, John Mwendwa, and Jumia East Africa Managing Director, Vinod Goel.
During the meeting, Mwendwa explained the mandate of Invest Kenya in promoting and safeguarding investment through partnerships with government agencies, including the Kenya Revenue Authority (KRA), Customs, and relevant sector ministries. Goel, in turn, reaffirmed Jumia’s commitment to Kenya as a leading pan-African e-commerce platform, highlighting its contribution to MSME growth, digital skills development, employment, and expanded market access.
The discussions underscored the increasing importance of e-commerce in Kenya’s investment landscape as internet penetration and digital adoption continue to rise.
According to Jumia, approximately 60 per cent of all orders on its platform now originate from secondary cities and rural areas, demonstrating the growing reach of online commerce beyond major urban centres.
As almost 70 per cent of Kenyans live in rural areas, the company noted that e-commerce has become essential to bring in unconnected and under-served communities to goods, services and the economy.
Another demonstration was Jumia’s national logistics and delivery network, comprising of over 300 pick-up stations and 26, 000 JForce agents.
This network enables the extension of e-commerce services to more communities by supporting digital literacy, entrepreneurship and last-mile delivery.
The debates highlighted the growing role of e-commerce in Kenyan investment relations, as Internet and digital penetration continues to expand.
The company further revealed that the proportion of SMEs operating on its marketplace has increased from 40 per cent to 60 per cent, reflecting the growing participation of local businesses on the platform.
The meeting also discussed policy questions impacting the digital economy in Kenya, including taxes, regulation of digital marketplaces and the importance of fostering fair competition between locally established businesses and non-resident firms.
The two parties singled out the creation of a conducive policy environment that promotes innovation, investment and positions Kenya as a flagship digital economy hub in Africa
Speaking after the meeting, Vinod Goel, Managing Director, Jumia East Africa, said
“All the indicators are working in our favour. While markets elsewhere are tough, Jumia Kenya is growing in double digits. We hope Kenya’s policies will support us so that, as e-commerce players, we can operate on best practices — not unfair advantage.”
John Mwendwa, CEO of Invest Kenya, said Invest Kenya was keen to better understand Jumia’s operations
“We wanted to understand the dynamics of the products you sell across the country, particularly locally produced goods, to help build a stronger case for investors. We must support Jumia’s growth and scale.”
While the market is difficult in other parts of the world, Jumia Kenya is doing double digits, hoping the government will have policies that would favour them to change the existing playing field for e-commerce companies to best practices.
