System dynamics modelling is a scientific method for modelling complex, nonlinear natural, economic and technical systems. This research assesses the Kenyan mobile industry thus, identifying success factors and challenges for Kenya to substantially increase its economic growth outputs. Based on a Systems Dynamics approach, a Mental Model (Causal Loop Diagram) has been prepared as a step towards building a model to simulate the expected effect of mobile phone usage on economic growth. A computer simulation provided a mathematical model, providing practical insight into the dynamic behavior of the observed system, i.e. the analysis of economic growth and observation of mutual correlation between individual parameters. The results of the simulation are shown in graphical form. The dynamic model of the effects of mobile phone penetration on Kenya’s economic growth has been verified by comparing simulation results with existing data on economic growth.