All Africa reported that South Korean steel giant POSCO plans to set up a manufacturing plant in Kenya. The steel mill, which could be in place within a year, is targeting to produce metallic products for growing industries in East Africa and Comesa markets. This is POSCO's first investment in Africa. It is the world's third largest steel maker by market value and Asia's most profitable steelmaker.

Mr Julius Korir acting MD of Kenya Investment Authority and the Korea Institute for International Economic Policy said that the plans were being finalized before announcing how much would be invested in Kenya. South Korea is targeting to increase its long term investments in Kenya and Africa as a whole.

It is aiming to catch up with other Asian giants like China, Japan and India which have in the past years expanded their investments enormously. Key South Korean investments in Kenya include the Safari Park Hotel and various distribution networks for some of its products like Samsung, Hyundai and KIA.

South Korea together with Japan has just won the bid to build new geothermal plants worth KES 40 billion.

Mr Park Young Ho of KIEP said that "We are looking at areas of investment that will see Kenya industrialize fast speed like South Korea did." Mr Young Ho said other areas investors from his country would be interested in is in cement production and mining.

(Sourced from www.allafrica.com)