Ransom money goes into Kenya property market

Brunei News.Net
Saturday 2nd January, 2010

Property prices in Nairobi, Kenya have been rocketing since Somali pirates entered the market.

A public outcry has followed the massive hike in property prices after allegations that millions of dollars in ransom money paid to Somali pirates are now being invested in Kenya.

Kenya, which is Somalia's southern neighbour, has seen three-fold increases in Nairobi properties which political figures believe are being driven up by the laundering of ransom money to purchase real estate.

Large business and apartment buildings have been bought by the pirates, who have collected about $100 million in over the last two years from shipping owners ready to have their vessels and crews returned safely.

Some of the pirates have freely admitted they invest their ransom money outside their war-torn country, including in Kenya and Dubai.

Kenya shares a roughly 800-kilometre border with Somalia and has a large Somali community of up to 200,000 people.

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