10 Best Passive Income Ideas in Kenya

This article will take you through the 10 best passive income ideas in Kenya and access to resources that will help you start your business

Carson O.
8 Min Read

If you are looking for a way of earning money regularly without having to put in a lot of effort, then starting a passive income business or gig is your top solution. This article will take you through the 10 best passive income-generating ideas in Kenya. As you learn, you will also have access to more resources that will help you start and run your passive income business in Kenya.

Let’s dive in;

What is passive income?

Passive income refers to the income that is earned without actively participating in the activity that generates the revenue. In other words, it is money earned from sources that require little or no effort to maintain.

Yes! All you need to do is have a winning strategy, implement it and wait for the money to flow in.

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Below, is a list of the top passive income ideas in Kenya;

#1. Affiliate Marketing

Affiliate marketing can be a tough nut to crack, especially if you are a newbie in the field. This business niche involves advertising products on behalf of sellers, and then you get paid a certain percentage of commission. Depending on your level of expertise, you can make anywhere between KES 20,000 to KES100,000 monthly, as long as you follow the affiliate marketing guidelines documented in this article.

To be successful, you will need to either have a strong social media presence or a high domain authority website so that you can easily convert your followers or traffic, respectively, into buyers.

It’s important to differentiate affiliate marketing from other online frauds that will involve you spending money to make more money.

#2. Blogging

Blogging involves writing and posting useful information for people to read online, like what I do. To succeed in blogging, you will first have to create your website and learn how to write ‘people’ content.

This means that everything you write should be aimed at solving problems that people encounter daily.

You will have to learn about Search Engine Optimization (SEO) and good grammatical skills, alongside creativity to retain your audience for a long time.

After doing all this, passive income comes in when you sign up for AdSense, get approved and then start to show ads on your site.

When you keep consistency in publishing articles regularly, your website traffic will grow and you will earn from articles that you write in both the present and past.

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Read how to start a blog in Kenya here.

#3. E-commerce

E-commerce is simply selling products online. Despite the simple definition, setting up this business is quite harder than the previously mentioned gigs.

First of all, you will need to have a website. To set it up, follow the instructions in the article linked earlier in the blogging section.

After setting up your website, and learning all about running an e-commerce business in Kenya, you will then need to purchase inventory, upload the relevant images online and start selling.

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Before you start selling, you must, however, settle all legal requirements such as registering your business and paying all necessary fees attached, including taxes after every month.

#4. Rental Income

Rental income is another good avenue for passive income. If you have a piece of land that is lying idle, you can choose to invest in it by building rental apartments and hosting tenants who will be paying you every month.

Building rentals is no easy task. Here is our expert guide on how to dive into the world of real estate.

#5. Dividends from investments in shares

When you buy shares from SACCOs or company stocks in the Nairobi Stock Exchange, you get a yearly income from the companies, something usually referred to as dividends.

These dividends usually vary depending on how much your company of choice made in the preceding economic year.

As you choose a company or SACCO to invest in, make sure you choose one that doesn’t deal in risky/volatile business. This will prevent you from losing money if the company makes a loss.

Some good SACCOs you should consider investing your money in include Safaricom, Sheria etc.

#6. Cryptocurrency

When Bitcoin was first launched, many people thought of it as a scam and failed to invest in cryptocurrency. Over 10 years later, the few who invested have reaped ten times more than what they invested.

While some investors choose to invest in blockchain technology and hold for years, some choose real-time trading of cryptocurrencies, making many small profits that when summed up together become huge profits.

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If you are interested in crypto, bitcoin, Ethereum etc., here is a tutorial on how to buy cryptocurrency in Kenya.

#7. Become a Freelancer

Freelancing requires the same level of effort as Affiliate marketing. In this passive income-generating idea, you get to offer your services to clients at a fee.

Get this!

You have to be an expert in whatever service you choose to offer your clients, lest you risk losing them to other better freelancers.

Profitable freelancing niches in Kenya include;

  • Social Media Management
  • Graphics design
  • Transcription
  • Data Entry
  • UI/UX design
  • Web development
  • Mobile app development

To get started with freelancing, access this free manual to freelancing here.

#8. Sell E-books

As unrealistic as this looks, it works.

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Do you need proof? Check out our e-book shop section. Here, we sell business plans and guides that help people start and run their businesses successfully.

With that, here is a brief process on how to start selling e-books:

  1. Write helpful content, and edit it both visually and grammatically
  2. Set up your e-book store/website online or start a YouTube channel that gives info on the same content in your e-book
  3. Sell to interested clients

#9. Bonds

Bonds are a type of investment that involves lending money to a company or government in exchange for regular interest payments. This is another low-risk investment option.

#10. Fixed Deposits

Fixed deposits are investment accounts offered by banks that offer a fixed rate of interest over a set period. This is a low-risk investment option that provides a guaranteed return.


To be successful in generating passive income, you will need a combination of creativity and effort. If you need help in starting your business, seek our help here.

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I am a multi-faceted professional with a strong foundation in Business and Finance, honed since 2020. Additionally, I possess a deep passion for automobiles, serving as an avid car enthusiast. In parallel to my diverse interests, I am also a dedicated student pursuing a career in the medical field.

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