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BPO sector set to grow as Adec enters market

By BY NICHOLAS WAITATHU | Published Wed, November 6th 2013 at 00:00, Updated November 5th 2013 at 22:58 GMT +3

BY NICHOLAS WAITATHU

NAIROBI, KENYA: Kenya’s efforts to become a business process outsourcing and sustainability centre received a major boost yesterday after an international provider of customised onshore and offshore outsourcing solutions opened office in Nairobi.  

The ADEC Group from Philippines signed a lease agreement with the Export Processing Zones Authority (EPZA). 

The partnership will allow the global company to start Business Process Outsourcing (BPO) services in Kenya before the end of the year.

EPZA Chief Executive Cyrille Nabutola explained that his organisation would provide offices for the company to start their operations of developing services for exports.

“The partnership is to enable the international company initiate BPO services in the country. This is further geared towards enhancing the country’s profile in the international arena,” said Nabutola.

Export Processing Zones Authority has provided the company with 5,567 square feet of office.  The company, he added has been attracted to Kenya owing to the country’s endowment, for example, human s resources and strategic position in the region.

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 “Our hope is that Kenya will soon start exporting service to the rest of the world soon,” said Nabutola.  The start of BPO operations in the country, he noted, would further expand the labour market, as more people would be employed in agencies that would be established by Adec Group. Kenya is one of the top three BP0 destinations in Africa.

In the BPO market, Kenya has a comparative advantage due to the low labour rates for quality services. Learning institutions in the country produce more than 700,000 graduates every year.

Private sector

While initially the success of BPO may be driven by the private sector, Nabutola added that government’s role is to provide support in terms of a stable legal and business environment. 

The coming in of the new company, Nabutola said follows invitations EPZA has been extending since 2003 to local and international companies to discuss how the initiative could be pursued.

Adec Group Chief Executive Officer James Donovan said his company’s efforts to set up operations in Kenya are informed by research carried out recently, which rated Kenya as one of the leading countries in terms of BPO service offerings.


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