Kenya’s leather industry has taken a major step forward with the signing of a strategic Memorandum of Understanding (MoU) between the Kenya Leather Development Council (KLDC) and KCB Group, securing $100 million in financing to boost the sector.
The agreement was signed during the Investment Conference held at Radisson Blu, with KLDC Acting CEO Jimmy Odhiambo and Chairman Capt. Mohamed Adan representing the council. The financing package is designed to support the entire leather value chain—from raw hides to finished products.
The funding will focus on expanding production capacity, improving access to finance for SMEs, enhancing technological capabilities, and strengthening export-oriented growth. It also aims to promote sustainable production practices and increase local value addition within the sector.
Despite Kenya’s strong livestock base, the country has historically relied on exporting raw hides and skins. This initiative is expected to accelerate the transition toward higher-value manufacturing, enabling Kenya to capture more value domestically.
Industry experts highlight that the partnership will not only attract new investments but also create jobs and enhance competitiveness. By building a more integrated and resilient ecosystem, Kenya is positioning itself as a leading leather manufacturing hub in East and Central Africa.
This development aligns with broader global trends emphasizing sustainability, traceability, and localized production in the leather industry.
