Kenya's manufacturing sector has been identified as key to unlocking wealth, create jobs and alleviate poverty, according to a report released Friday.
The report, titled 'Eastern Africa's Manufacturing Sector: Promoting technology, innovation, productivity and linkages' covers Kenya, Burundi, Ethiopia, Rwanda, Seychelles, Tanzania and Uganda. It was commissioned by the African Development Bank.
It ranks Kenya second in terms of value addition per capita, which is an indicator of industrialisation.
The country's manufacturing sector, which had registered strong growth from 2002 to 2008, is yet to recover from effects of the 2007/08 post-election violence that brought the economy on its knees. Seychelles tops the ranking.
The report recommends that formal, scalable enterprises should adapt technology to boost production efficient. Most of the countries covered in the report have stuck with outdated technology that only helps meet near-term needs, it notes.