Abstract: Foreign Direct Investment (FDI) plays a crucial role to speed up the development and economic growth of a country. In particular, developing countries rely heavily on FDI to promote their economy as they face capital shortage for their development process. FDI not only brings in capitals and technology, but also skills into developing countries. And this end is to help the countries grow faster by satisfying the country’s needs. The main aim of this study is to explore and determine the factors affecting foreign direct investment decisions among International companies investing in Kenya, find ways in which (FDI) foreign direct investment contributes to the development of Kenyan economy and finally to determine the strategies to attract and retain foreign direct investments in Kenya. The study analysed critically both the theoretical and empirical reviews of the available data before conducting the study to ensure the viability of the study.