Kampala, Uganda | JULIUS BUSINGE | Private sector companies have a chance to triple their growth once they adapt to the changing technology and business environment. This was the key message delivered by Dr. Geci Karuri – Sebina in a keynote speech at the second 2019 Mkutano Economic Forum held at Sheraton Hotel, Kampala on Sept.12. Sebina is a well-respected thought leader on innovation, urbanisation and the 4th industrial revolution. On the other hand, Mkutano is a “Gathering for a Purpose” where open debate leads to solutions, according to David Ofungi, the brain behind the Mkutano.  This Mkutano edition was in line with the United Nation’s 9thSustainable Development Goal (SDG 9) that focuses on industry, innovation and infrastructure. This year’s Forum was attended by slightly over 200 participants mainly from the private sector and research institutions. The focus this time around was on the role of Science, Technology and innovation in Economic Development. Sebina told business leaders to understand their own institutions well, do what they can and organise to do it innovatively. She added that investments in innovation should connect with research and development, human resource, capital development and physical infrastructure put in place by the private sector and the government. The key drivers of innovation, she said, are research institutes, innovators, technology, entrepreneurs, knowledge brokers, innovation policymakers, local intermediates, innovation brokers and funding organisations. “Focus on generating new knowledge and technologies and creating customer value,” she said. From a policy angle, she said focus should be on the government...

Rwanda will host the 26th Commonwealth Heads of Government Meeting (Chogm), signaling an important step for a country that was admitted to the group a dozen years ago. The Commonwealth Secretariat on Tuesday released a video announcing Kigali as the next host of the bloc. The Commonwealth ,commonly referred to as the ‘Club’, is composed mostly of the United Kingdom, Northern Ireland and 52 other countries mostly English-speaking former colonies of the United Kingdom. Ambassadors sent to each other’s countries are also distinctly known as high commissioners and diplomatic missions known as High Commissions. It will be the first time since 2007 that the Chogm meet will be returning to the East African Community bloc. Uganda hosted the 20th meeting in Kampala in 2007. The next Chogm summit, to be held at the Kigali Convention Centre starting June 22, 2020, will focus on ‘connecting, innovating and transforming’, according to the announcement. Source: The East African

President Paul Kagame on Tuesday said that Africa is ready to play her role in addressing global challenges such as global inequality and others which affect the continent directly, which can only be addressed by working together. President Kagame made the remarks while addressing the United Nations General Assembly (UNGA) as global leaders gather in New York to galvanize multilateral efforts for poverty eradication, quality education, climate action, and inclusion. In his speech, President said the international community stands at a crossroads because the next decade could be remembered in history as a turning point, or as the moment when multilateralism lost its way, highlighting some of the key milestones that will set the momentum ahead. “Fortunately, the path forward is clear. Never before have we had such well-defined road-maps for joint action on development, climate change, and global health,” President Kagame said, citing the Universal Health Care and Climate Action declarations adopted this week as key steps. “The transformational potential of Universal Health Coverage is now at the top of the global health agenda. This is thanks to the outstanding leadership of the World Health Organisation and many other stakeholders,” “In Rwanda, more than 90 percent of the population has insurance coverage. This has contributed to significant improvement in health outcomes. It shows that it is possible for countries at every income level to make health care affordable and accessible for all,” President Kagame said. The Head of State called on global leaders to commit to replenishing the Global...

Cargo dwell-time has reduced by 73 percent barely four months after the exit of 24 state agencies from the port of Mombasa, according to Kenya Ports Authority. The kicked out agencies delayed the clearing of goods through duplication of processes, multiple interventions and personal interests of state officers. Since June, graft loopholes have been sealed while clearance has been speeded up as the government works towards making Mombasa and other ports competitive. The biggest beneficiaries are Mombasa Port and Nairobi's Inland Container Depot, where average dwell-time has reduced from between 11 and 23 days last year to less than six days. KPA managing director Daniel Manduku said on Tuesday that improved efficiency has helped the port reach one million TEUs (twenty-foot equivalent units) with possibilities of surpassing this year's 1.4 million TEUs target. “We are at a high-efficiency level. Today 80 percent of all cargo leaves before expiry of the four days free storage period, our dwell time average has gone below six days,” Manduku said. Both the government and private sector work to ensure that business is seamless, smooth and efficient, he said. “This year we are not having a lot of demurrage because of efficiency at the port and ICD, where we are able to evacuate cargo speedily." The Revenue Authority and Kenya Bureau of Standards play the lead roles in the inspection and clearance of cargo. The agencies kicked out were Pharmacy and Poisons Board, AFA Horticultural Crop Directorate, Directorate of Veterinary Services, Kenya Dairy Board, Radiation...

The Port of Mombasa has recorded increased cargo volumes attributed to a set of reforms and heavy investment along Northern Corridor which have significantly reduced cost of transport to landlocked countries. Cross-border trade facilitation at One Stop Border Post (OSBP) has also been key in attracting landlocked countries to trade with the Kenyan port, resulting to increase of cargo throughput. On Wednesday last week, the Port of Mombasa crossed its one million mark, with the Kenya Ports Authority (KPA) managing director Daniel Manduku saying the low cost of operations, among other gains, has attracted regional countries to use the facility more. “This year we crossed the one million mark three months before the close of the year and it’s a good indicator as we aim to beat the 1.3 million Twenty Foot Equivalent Units (TEUs) target compared to 1.2 million TEUs last year,” said Mr Manduku during a media tour last week. He said South Sudan, Uganda and DR Congo are the main users of the port. According to a latest report by the Japan International Cooperation Agency (JICA), cost of transport in landlocked countries in East African reduced by more than 16 percent due to infrastructure investments and cross-border trade facilitations along the corridor. “Port usage share for Mombasa Port is expected to change due to the (Northern) Corridor and OSBP development and it would contribute to broadening its hinterland to Tanzania border, eastern part of South Sudan, and Burundi,” read part of the report. Some of the reforms...

For many African economies, promoting trade is a priority. Rightfully so, considering its potential snowball effect. When trade flourishes, it sets off a virtuous circle, a country’s goods enjoy ready market, producers and the entire value chain benefit and growth spreads out. However, turning this vision into a reality is a challenge. Trade remains depressed below optimum levels despite sustained investment in smoothening movement of goods. Over the years, billions of dollars have gone into interconnecting the continent by expanding existing roads, railways, air and waterways while building new ones. The rollout of infrastructure has been backed by sustained diplomatic efforts under the auspices of regional trade blocs to ease movement of goods and people, as well as free trade protocols, such as the East African Community common market. These recently climaxed with the proposed African Continental Free Trade Area (ACFTA) that is being ratified and is expected to be a game-changer in unlocking intra-African trade. All these notwithstanding, the higher cost of goods made in Africa has rendered them uncompetitive on the global market. Source: Business Daily

The Kenya Airports Authority (KAA) has attributed the top global ranking of the Jomo Kenyatta International Airport to increased air cargo traffic to and from Europe, Asia, America, China and Australia. KAA said in a statement the increase in cargo passing through JKIA is making the facility a global force. "This is what has culminated in JKIA being an emerging force and destination in the air cargo industry," KAA director Jonny Andersen said in the statement. He said the airport had registered steady transformation because of how air cargo is managed through “deliberate planning” and embracing of public and private sector participation. JKIA was ranked the second fastest growing cargo airport in the world, with USA based Rockford Airport ranked at the top position. At the third position was Belgium Liege Airport, followed by Xi'An Airport in China and Philadelphia Airport in USA. According to Airports Council International (ACI) latest World Airport Traffic Report, JKIA came second after handling over 342,000 metric tonnes of air cargo in 2018, a 25 percent growth from what was reported in 2017. The report highlights top airports for passengers, cargo and aircraft movements and showcases the world’s fastest growing airports for 2018. Mr Andersen said in the last few years the JKIA increased its annual overall cargo to 1.2 million tonnes. This, he said was as a result of the entry of several modern transit sheds at the facility. Astral Aviation, a cargo airline operating from JKIA has in the last year acquired three...

IN a bid to boost cross border trade, the government through the Ministry of Industry and Trade has introduced a special procedure to deal with Non-Tax Barriers (NTBs). The Ministry’s Deputy Minister, Eng. Stella Manyanya said the new procedure will enable traders to easily access required services from the government and its institutions. She said the government is committed to ensure changes in the cross border trade and that the measures will help to boost trade and the country’s economy at large. She mentioned the borders that are set to be linked to the new system as Kasumulu border- Tanzania and Malawi, Tunduma border, Tanzania and Zambia, Mabamba border- Tanzania and Burundi, Horohoro border- Tanzania and Kenya, Rusumo border- Tanzania and Rwanda , Kabanga border- Tanzania and Burundi, Mtambaaswala border- Tanzania and Mozambique, Tarakea border- Tanzania-Kenya and Mutukula border, Tanzania- Uganda. She mentioned the institutions that are directly involved in cross border trade as Tanzania Revenue Authority (TRA), Department of Immigration; Tanzania Bureau of Standards (TBS), Tanzania Medicines and Medical Devices Authority (TMDA), Tanzania Atomic Energy Commission (TAEC), Plant Health Services Unit, Departments of Natural Resources and Tourism, Department of Livestock and Fisheries, District Councils and Tanzania Business Development and Tanzania Trade Development (Tan Trade). Source: Daily News

Kenya improved marginally as one of the top countries in Africa to invest in, according to the Where to Invest in Africa 2020 report. Having placed fifth in the survey during the previous edition of the report, Kenya moved up one place to fourth on the study undertaken by South Africa’s Rand Merchant Bank. “The above 5 percent expected growth rates, helped by favourable weather and political reconciliation after 2017’s disputed elections, has propelled Kenya one spot higher than 2019,” the report reads in part. Kenya’s movement saw it go ahead of Ethiopia, who had placed fourth in the Where to Invest in Africa 2019 report. Ethiopia underwent a huge tumble, falling to ninth on the ranking. Recently, Ethiopia was reported to have pipped Kenya as the top destination for foreign direct investment in East Africa, reigning in Ksh700 billion last year. For Kenya, the Where to Invest in Africa 2020 report continued to say, “The economy benefits from diversity as well as a sustained expansion in consumer demand, urbanisation, East African Community (EAC) integration, structural reforms and investment in infrastructure, including an oil pipeline, railways, ports and power generation.” Egypt continued to top the ranking of African countries to invest in for the fourth consecutive year. The report said that enhanced government programmes, as well as improved investment from the private sector, have continued to push the North African nation’s attractiveness. “The enormity of the market paired with a sophisticated business sector relative to other countries makes Egypt the...

Tax directors and commissioner generals from across the continent are in Kampala to lobby for the creation and adoption of one single window system as the African Continental Free Trade Area plans to roll out next year. According to the AfCFTA, the single window system could reduce transaction time and costs especially in the process of documentation of exports and imports across the continent. Speaking at the opening of the five-day 11th African Union Directors conference at the Commonwealth Resort, Munyonyo, Rossette Nyirikindi Katungye, the advisor on Regional Integration, Office of the Chairperson at AU, said intra-African trade is expected to grow when the tax bodies deepen their linkages. “The first thing is to have clear rules on how we are going to trade and some of the contentious issues include quick dispute resettlements, clear rules of origin and reduction of non-tax barriers. All these will reduce the cost of doing business and increase our trading as Africa,” she said. The conference is under the theme ‘The Entry into Force of the Agreement Establishing the African Continental Free Trade Area (AfCFTA): Implications to African Customs Administrations.’ Dicksons Kateshumbwa, the commissioner for Customs at Uganda Revenue Authority, said some issues have been resolved to promote intra-Africa trade. “We are discussing issues of borders, tonnage, compliance, capacity building, gender, among others; the recommendations will be tabled before the director generals,” he said. According to Kateshumbwa, just like Uganda has the East African single window system, countries hope the single window system can...