Tanzania Beats Kenya as Most Secure Country for Investments

Tanzania, Uganda, and Rwanda have outperformed Kenya in the ranking for the most secure countries for investments.

In the Global Investment Risk and Resilience Index by Henley and Partners released in November 2025, Tanzania emerged as the most secure country for investments in the region.

The index is considered two indicators, including risks, which are a country's level of exposures and vulnerabilities that could undermine investment performance. Higher scores indicate greater risk.

The other indicator considered was resilience, which factored a country’s capacity to absorb and adapt to drastic changes, thereby safeguarding investments. 

Tanzania emerged as the most secure country with a score of 62 and was ranked 62nd worldwide, followed by Uganda, which has a score of 57.45 and was ranked 86th worldwide. Rwanda had a score of 54.98 at position 100.

Kenya emerged at position 116 with a score of 51.78 and was categorized as a risk watchlist.

Kenya

For Kenya, some of the notable risks that were highlighted include physical climate risks, legal and regulatory risks, political instability, currency volatility, and inflation risks in that order.

"Political instability increases policy unpredictability and market disruption. Studies have shown that investment decreases with increases in political instability owing to an uncertain environment and increased financing costs," read the report in part.

As a result, Henley and Partners determined that the risk for Kenya was high.

On the other hand, on investment resilience, the country had a low score. However, some of the factors that make Kenya conducive to investments were fiscal policies, social progress, and quality of governance. innovation, among others.

"Effective governance is crucial for national resilience as it allows countries to better manage shocks, implement adaptive policies, and foster a stable environment for recovery," the report added.

Tanzania 

Tanzania's risk category was ranked low with with the biggest challenge for investments being legal and regulatory risks, followed by political instability and physical climate risk.

On the other hand, investment resilience was ranked as medium, with climate resilience, fiscal policy, and investment indicators getting above 70%. As a result, the neighboring country was noted to have a favorable outlook for investment.

Uganda 

For Uganda, its climate resilience worked to its advantage. However, legal and regulatory risks were highlighted as major risk factors for investments.

Henley categorized Uganda as having cautious potential.

Rwanda

Meanwhile, Rwanda has inflation risk as a major risk factor, with climate resilience being a major plus for the country

Global Ranking

Countries that Kenya outperformed were Turkey, Djibouti, Senegal, Ghana, Egypt, Ethiopia, Nigeria, and Pakistan.

The top 10 countries in the ranking were Switzerland, Denmark, Norway, Singapore, Sweden, Luxembourg, Finland, the Netherlands, Germany, and Iceland in that order.

"Switzerland stands at the top globally, performing exceptionally well in the Inflation Risk and Legal and Regulatory Risk indicators. Its resilience is underpinned by its world-leading Innovation score, and high Climate Resilience, Economic Complexity, Quality of Governance, and Social Progress, which place it in the global Top 10 across all these indicators," Henley and Partners added.

"Notably, driven by its scientific, technological, and creative services, Switzerland has enjoyed the top place in the World Intellectual Property Organizations’ (WIPO) Global Innovation Index, which forms the basis of our Innovation score, 15 times in a row as of 2025."