NAIROBI, Kenya, Jan 30 — Kenya is positioning itself as a new frontier for American mining investment as the government moves to unlock largely untapped rare earth mineral reserves to boost export revenues and diversify the economy.
Speaking at the US–Kenya Critical Supply Chains Conference in Nairobi, Cabinet Secretary for Mining, Blue Economy and Maritime Affairs Hassan Joho said Kenya is reforming its regulatory framework to remove obstacles that have historically slowed foreign investment in the mining sector.
“I want to tell Americans that, as a country, we are willing and ready to engage them in this sector,” Joho said, adding that infrastructure development is underway to support expanded mining operations.
He noted that Kenya has significant deposits of rare earth minerals, which are in high demand for industries such as electronics, renewable energy, and electric vehicles—making the country an attractive partner for U.S. firms seeking to diversify global supply chains.
Despite its potential, Kenya’s extractive sector currently makes a modest contribution to the economy. Data from the Kenya National Bureau of Statistics shows the mining sector generated Sh223.6 billion ($1.7 billion) in revenue in the 2024 financial year, accounting for about 0.7 percent of GDP, a slight decline from previous years.
Most of the revenue followed the issuance of mining licences after a four-year moratorium was lifted, underscoring the impact of recent policy reforms aimed at revitalising the sector. Industry experts note, however, that mining’s contribution to GDP has historically remained below one percent, well under its potential.
Joho’s remarks come amid growing international interest in Kenya’s rare earth prospects, including the Mrima Hills in Kwale County, which analysts value in the tens of billions of dollars and say could position Kenya as a global supplier of critical minerals.
The CS said the government will continue reviewing policies to attract investment while ensuring the sector delivers jobs and broader economic growth.
As Kenya seeks new sources of foreign capital, American mining firms may find strategic opportunities in one of Africa’s most resource-rich yet underdeveloped markets.
