Registering a Foreign Construction Company in Kenya
Registering as a foreign construction contractor in Kenya involves a few additional steps compared to local contractors. Foreign contractors must register with the National Construction Authority after receiving an award letter and before signing the contract to undertake any construction work or projects in Kenya. Here is a summary of the registration process.
1. Obtain a Certificate of Incorporation
To legally establish your company, you must obtain a Certificate of Incorporation. This document confirms that your business is officially registered in your home country.
Alternatively, if you are setting up as a branch of a foreign company, you will need to register and obtain a Certificate of Compliance from the registrar of companies.
These steps ensure that your business operations are recognized and compliant with local regulations.
2. Register with the National Construction Authority (NCA)
The National Construction Authority (NCA) in Kenya plays a pivotal role in regulating and overseeing the construction industry. Submit the required documents to the NCA, including:
- A copy of your company registration certificate or compliance certificate
- Copies of passport(s) and work permit(s) for the director(s)
- Academic certificates and testimonials for technically qualified directors and staff
- Work permits for technically qualified staff
- A valid KRA tax compliance certificate
- A certified copy of your current business license
- Proof of past experience and ongoing projects
- Proof of plant, equipment, and machine holdings
- Three years of audited accounts certified by a registered accountant from the Institute of Certified Public Accountants (ICPAK) or other relevant financial information such as bank statements.
- Sworn affidavit stating your commitment to subcontracting at least 30% of the contract value to local contractors
3. Contractors on Select Specialist Subclasses Works
Contractors aiming to engage in projects under select specialist subclasses must obtain the necessary licenses from the Communications Authority of Kenya (CA) and the Energy and Petroleum Regulatory Authority (EPRA).
The required licenses are as follows:
- Electrical Installations require EPRA licensing.
- Generating Plants, Lifts, and Escalators also fall under EPRA's jurisdiction.
- Radio Communication requires CA licensing.
- Structural Cabling is regulated by CA.
- Telecommunication services, including PABX systems, intercoms, and telephone wiring, require CA approval.
These regulations ensure that contractors meet the standards set by these authorities for specialized work.
4. Registering the Company on the NCA Portal
The registration process for foreign contractors is completed on the National Construction Authority (NCA) portal. Here is a step by step guide to creating an account:
- Visit the NCA Portal: Go to the NCA Portal.
- Register an Account: Fill in the requested information, such as your Passport No. and Contact details, to create an account.
- Log In: After registering, log in to your account.
- New Contractor Registration: Click on "New contractor registration" and fill in the necessary details.
- Submit Required Documents: Submit the various documents mentioned above in this post.
5. NCA Registration and Application Fee for Foreign Contractors
The schedule for paying the registration and application fees includes;
Type of Fee |
Type of Application |
Amount ($USD.) |
|
1 | Application Fees | New Application | $500 |
2 | Registration Fees | NCA 1 Category | $2,500 |
3 | Annual Licence Fees | NCA 1 Category | $1,500 |
4 | Late Renewal Fees | NCA 1 Category | $4,500 |
NOTE: All payments are made strictly through the E-citizen portal.
6. Registration Approval Timeline
The registration approval timeline takes about 14 working days from the application date.
7. After Receiving the NCA Practicing License Registration, you should:
- Attend Continuous Professional Development (CPD) Training: Foreign contractors must attend at least one CPD training session each financial year and earn 10 CPD points.
- Submit a Project Extension Application if Needed: If the project duration expires but the project is still ongoing, submit a project extension application through the NCA contractor portal.
- Renew Practicing Licenses Annually: All contractors must renew their practicing licenses annually during the renewal period, which typically falls in July.
8. Useful Links
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