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If you have Ksh 7 million what is the best investment to do in Kenya


One of our customers asked how can one invest Ksh 7 million in Kenya. His question goes like this:

“I have Ksh 7 million in my bank account which I want to invest wisely in Kenya.I want in 5 years to be worth over Ksh 10 million. But before investing, advise me on the best house to build that will not consume more than Ksh 3 million. I already have land which I bought 3 years ago”


With Ksh 7 million, you will certainly make over Ksh 10 million in 5 years. Set aside Ksh 2.5 million and build a 3-bedroom house. You will remain with Ksh 4.5 million. There are many options to take.

Hardware business will never disappoint you. The initial capital required is Ksh 3 million. A stock of Ksh 3 million will generate Ksh 2,000 to Ksh 20,000 daily. In a month, you will make Ksh 100,000 to Ksh 300,000.

But make sure the location is good, where construction is happening.

If you make Ksh 100,000 per month, in one year, you will make Ksh 1.2 million. In 5 years you will make Ksh 6 million. Adding the initial capital, in 5 years you will have over Ksh 10 million.

If you have never run any business, don’t risk it with starting a business—invest the money in the Money Market Fund. The cash will generate a profit of Ksh 400,000 to Ksh 500,000 per year. The interest for Money Market Fund in Kenya is 13%-18%.In 5 years the Ksh 3.5 million will generate interest of Ksh 2 million to Ksh 3 million.

Build rental houses with the Ksh 7 million. Live in one of the houses. The money will build houses that generate Ksh 50,000 to Ksh 100,000 per month. You will also make over Ksh 3 million in 5 years.

You can opt to build a bedsitter, single rooms or one bedroom houses.But bedsitters will yield more income than single rooms and one bedroom houses.

One of my friends suggested that you should buy a personal car,2 matatus and a taxi. But it was a wrong advise. Matatu business is among the worst businesses to do in Kenya. You will be working for the driver, conductor and the police.

You can also save in Fixed Deposit account but the interest is low.Fixed Deposit Account will yield Ksh 3% to 6% per year which is lower than Money Market Fund.

Investing in shares and bonds is another viable option but riskier. Bonds require investment of more than 10 years. Shares can lead to loss of your money. In our case, the investor doesn’t want to lose his money

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