The impact of the location of export processing zones on the local communities: the case study of Athi River

Abstract

Export Processing Zones (EPZs) not only have an impact on the domestic economy of host countries but also on the local communities where they are located. This study therefore set out to examine and investigate the impact of the location EPZs on the local communities in Athi River Constituency. The study argues that the location of EPZs attracts the establishment of various amenities (initially by the government) as a way of creating an enabling environment for investment for the EPZs. The location of EPZ came with a takeoff package that was non-excludable in nature which benefited the local communities. The study also argues that the creation of an enabling environment in the EPZs caused an influx of population which opened up the area for further development and attracted other communities (service providers) to provide for their emerging demands. The study concludes that the location of EPZs in Athi River largely benefited local communities through the takeoff package of development, through the influx of population due to the presence of the zones in the area, and through the creation of new investment, business and employment opportunities emanating from emerging demands of the local communities.