Malawi has commissioned a smart gate at Mwami Border Post in Mchinji District which will facilitate efficient cross-border trade between Malawi, Zambia and other countries in the Common Market for Eastern and Southern Africa (Comesa) region. In her remarks during the commissioning on Monday, Ministry of Trade and Industry Principal Secretary Christina Zakeyu said the smart gate will help speed up processes in clearing goods and services. She said: “Before the smart gate, we were using manual clearing system and this would take time, but now it will be more like self-service because the machine will be doing it all and just sending data. “Traders will be taking less time at the border; hence, they will be meeting customer targets.” Zakeyu also appreciated laboratory equipment for the Ministry of Agriculture and the Malawi Bureau of Standards which was commissioned alongside the smart gate, saying it will play a vital role in certifying the quality of goods entering the country. On her part, Malawi Revenue Authority executive director of corporate services Agnes Katsonga Phiri said the smart gate will also contribute significantly to revenue collection on vehicles that over-stay. She said: “The smart gate will be producing reports indicating dates and times trucks enter and exit the country which will help to eliminate allegations of delays in clearance of goods.” The project has been implemented by Comesa with funding from the European Union (EU) to facilitate smooth flow of goods, persons and services across the region. Comesa European Development Fund programme...

What you need to know: The NTBs pose a major problem for traders and producers, as they can reduce profits and limit market access. NTBs include issues that can hinder trading effectively such as discriminatory requirements for special licenses and permits, excessive paperwork, complicated customs procedures, and bureaucratic delays at borders The East African Community Secretariat has said it still has unresolved complaints of the Non-Tariff Barriers standing at 43.75 percent by June 2023, which still affects the follow-up trade in the regional bloc. The NTBs pose a major problem for traders and producers, as they can reduce profits and limit market access. NTBs include issues that can hinder trading effectively such as discriminatory requirements for special licenses and permits, excessive paperwork, complicated customs procedures, and bureaucratic delays at borders. “A significant number of NTB complaints were addressed (56.25%) and resolved within the given timeframe. However, a notable portion of complaints, specifically (43.75%) were still in progress by the end of June 2023," EAC said in a press statement it issued over the weekend. The EAC secretariat said a recent EAC Regional Meeting Committee (RMC) report (2023) estimated the direct costs of NTBs at $16.7 million and total trade impact at $94.9 million decreasing trade by an average of 58 percent. However, on the other hand in the press statement, EAC said since 2017, EAC has resolved 89.5% of the reported NTBs (EAC Time Bound Programme report, 2023). “In addition, there has been a relatively steady decrease in reported NTBs....

Africa is making strides in its visa openness policies boding well for cross border travel, ease of movement and trade in 2024 and beyond. The Africa Visa Openness Index 2023, published on Tuesday, reveals much progress since the seventh edition of the report was published in December 2022, reports African Development Bank. The visa openness achieved its highest score ever in 2023, surpassing levels last seen prior to the Covid-19 pandemic. The Africa Visa Openness Index (AVOI) measures the extent to which African countries are open to visitors from other African countries. Over the period 2020-21, massive border closures to curb the spread of COVID-19, affected land and air travel, with additional restrictions due to screening measures, bans on gatherings, quarantines and such, causing stagnation in 2022. In 2023, data from the report shows that 50 countries improved or maintained their 2022 score, with only 4 countries scoring lower. Since the first report was published in 2016, 36 countries have improved their score on the index. Forty-two (42) countries extend visa-free entry to citizens from at least 5 other African countries, while 33 countries do so to citizens of at least 10 countries. Four countries – up from three last year, –  have eliminated all visa requirements for African travelers. They are Rwanda, Benin, The Gambia, and Seychelles. All key overall matrices have shown improvements in 2023. In 28% of all intra-Africa travel scenarios, African citizens do not require a visa (an improvement from 27% in 2022 and 20% in...

NAIROBI, Kenya, Dec 11 – Over 300 MSMEs from all 47 counties are representing Kenya during the ongoing 23rd Edition of the East African Community (EAC) Micro, Small, and Medium Enterprises (MSMEs) Trade Fair, formerly known as the Jua Kali/Nguvu Kazi Exhibition, at Cercle Hyppique grounds in Bujumbura, Burundi. The theme for this year is ‘Connecting East Africa MSMEs to Enhance Intra-EAC Trade’ and has drawn over 1,500 MSMEs in trade, manufacturing, agribusiness, and services sectors from the seven EAC partner states. The EAC Trade Fair was officially opened by the Vice President of Burundi, Prosper Bazombanza, on December 8, 2023. In his remarks, the Vice President noted that the trade fair has been a vital platform for enhancing and revamping the socioeconomic integration of the people of East Africa. It also provides a platform and opportunities for MSMEs to showcase their products, facilitate business-to-business engagements, and share information on trade-related matters. The opening ceremony also doubled up as the launch of the EAC Non-Tariff Barriers (NTBs) App that was developed by the EAC Secretariat and Trade Mark East Africa with the aim of easing the reporting, monitoring, and elimination of NTBs in the EAC community. The app will also provide different access levels for traders and NTB focal points in each partner state. Kenya celebrated its country day with a showcase of its unique products and innovations, patriotic songs, fashion showcasing creative designs, apparel, artifacts, and dances from all the cultures represented. “This trade fair will not only avail...

By Ahmed Fara In the face of escalating global environmental challenges, African nations are at a pivotal moment. With less than four percent contribution to global greenhouse gas emissions (GHGs), Africa faces the daunting task of balancing economic growth with environmental sustainability. But this is not just a challenge; it's an opportunity for transformation. At the core of this transformation is the shift from traditional, fossil fuel-driven industrialisation to a model that leverages Africa's abundant renewable energy resources and minerals essential for green growth. Kenya, for instance, is leading by example, generating nearly 90 percent of its electricity from renewable sources, according to the Energy and Petroleum Regulatory Authority. Kenya’s case, pundits say, proves that industrialisation doesn't have to follow the pollute-first, clean-up-later pathway. It's a lesson in how environmental conservation and economic development can go hand in hand. The increasing preference for eco-friendly products in export markets affects African traders. For example, the environmental impact of airfreighting fresh produce from Kenya to Europe is significantly higher compared to sea freight. This not only impacts the environment but also the profitability of industries reliant on airfreight. However, transitioning to sea freight presents an advantageous solution. It is environmentally friendly and economically viable, aligning climate action with development goals. How significant are the environmental concerns with air freight? Air freight constitutes about 2.5 percent of global carbon emissions while transporting just 1 percent of total global cargo. This environmental impact is a driving force behind the shift. The transition to sea...

The insights from the study done by UWEAL revealed that lack of trade and market information was a predominant barrier faced by 83% of women entrepreneurs coupled with digital readiness in inequalities, high business costs and poor management skills. In a dedication effort to foster women’s economic empowerment, the Uganda Women Entrepreneurs’ Association Limited (UWEAL) held its 10th Annual women in Business leaders conference, a pinnacle event to recognize successful women in business. The two-day event which started with The Month of Women Entrepreneurs (MOWE) conference on November 29, was under the theme of Digitization Advanced Women in Trade. The insights from the study done by UWEAL revealed that lack of trade and market information was a predominant barrier faced by 83% of women entrepreneurs coupled with digital readiness in inequalities, high business costs and poor management skills. Conie Kekihembo, the chief executive officer of UWEAL, stressed that women contribute significantly to agricultural production yet their participation in value addition and trade both locally and internationally, lags behind their counterparts. A contextual analysis reinforces the critical role of women’s leadership in driving economic opportunities given that women constitute 51% of Uganda’s population with women operating 25% to 33% of all businesses, however they encounter economic, legal and cultural obstacles hindering their ability to scale enterprises for substantial economic growth, said Kekihembo. The two-day conference was crowned with an evening of awarding exceptional women entrepreneurs around Uganda in business officiated by Paulina Chiwangu the country Repressive of UN Women in Uganda....

The Secretariat of the African Continental Free Trade Area (AfCFTA), has recognized Ghana as a shining example in the implementation of the continent’s free trade agreement. “We started with seven countries, and I am happy Ghana is taking the lead in this process of implementing the AfCFTA agreement,” said, Mr Didier Bonyeme, Division Head, Rules of Origin, AfCFTA Secretariat. Mr Bonyeme said this at a GIZ/CUTS International public-private dialogue on the Guided Trade Initiative (GTI) – a pilot implementation of the AfCFTA agreement, in Accra. Ghana is one of the eight countries that have satisfied the requirements to participate in the GTI out of the 29 that have submitted their tariff offers and host to the AfCFTA Secretariat, which has the largest global free trade area by number of member states. Some 14 Ghanaian companies, assisted by the government, have so far, engaged in 40 trades with neighbouring African countries under the GTI. The Guided Trade Initiative is a pilot implementation phase, aimed at ensuring an acceleration in the operationalization of AfCFTA, by testing the institutional, legal, and trade policy environment for the free trade agreement. Speaking with the Ghana News Agency, Mr Bonyeme explained that compared with other African countries equally implementing AfFCTA, the Government of Ghana had done more to facilitate private sector participation. He noted that through the National Coordination Office, the Government had created opportunities for partnerships between Ghanaian companies and their African counterparts, leading to increased trade under AfCFTA. Dr Diana Ogwal Akullo, Principal Officer,...

Preparations for the 23rd Edition of the East African Community’s (EAC) micro, small and medium enterprises (MSMEs) trade fair that is expected to showcase the region’s innovations and trade are in top gear. The trade fair, dubbed, the Jua Kali-Nguvu Kazi Exhibition is expected to attract more than 1,500 firms from all the seven EAC partner States. Themed, “Connecting East African MSMEs to Enhance Intra EAC Trade,” the exhibition will run from December 5 to 15, 2023 at the Cercle Hyppique Grounds in Bujumbura, Burundi. The trade fair is expected to contribute towards realising the region’s development goals and aspirations by lending support to this budding sector of the economy, which needs public patronage and government support to make it sustainable. “The trade fairs further create a considerable impact on the image of the sector, which is today seen as the panacea to the daunting question of unemployment and poverty alleviation in the region,” noted the EAC Secretariat in a statement. The trade fair will also feature a daily symposium aimed at enhancing awareness of and the capacity of MSMEs. Preparations for the 23rd Edition of the East African Community’s (EAC) micro, small and medium enterprises (MSMEs) trade fair that is expected to showcase the region’s innovations and trade are in top gear. The trade fair, dubbed, the Jua Kali-Nguvu Kazi Exhibition is expected to attract more than 1,500 firms from all the seven EAC partner States. Themed, “Connecting East African MSMEs to Enhance Intra EAC Trade,” the exhibition will run from December...

When the European Union (EU) and the United States of America (US) announced their collaboration by signing a joint communique in September 2023 to construct Africa's inaugural transcontinental Lubito trade corridor, it symbolised a pivotal moment in Africa's economic journey. Should this venture succeed, it will span the mineral-rich Angola, the Democratic Republic of Congo (DRC), and Zambia. The region's strategic significance extends to the supply of other critical minerals such as lithium, copper, manganese and coltan. The new infrastructure is poised to play a pivotal role in collecting these minerals, which are crucial for producing electric vehicles, wind turbines, and computers. Thus, transforming it into a robust regional economic community comprising 16 Member States, it also promises to revolutionise the entire Southern African Development Community (SADC) region, calling for a clear strategy that can be used to support the local value additions. Reflecting on the growing desire among African countries, particularly those rich in raw materials, to move away from traditional exports and foster local job creation, the project holds the potential to transform the Southern African Development Community (SADC) into a robust economic hub and foster regional competitiveness. As the corridor unfolds, its broader implications for harmonising regulations and propelling the Africa Continental Free Trade Area (AfCFTA) also underscores the importance of a comprehensive continental infrastructure roadmap. Currently, Africa stands at a crossroads, and with strategic partnerships and inclusive development, it can redefine its narrative, offering a brighter future for its youth and becoming a global exemplar of...

Tanzania doubled its Foreign Direct Investments (FDI) in Q3 of 2023 compared to the same period in 2022. The East African country’s year-on-year FDI between July and September 2023 came in at US$1,05 billion, against US$524,4 million in the same year prior. Released by the state-run Tanzania Investment Center (TIC) and seen in the East African publication, The East African, these figures convey a significant surge in Tanzania’s FDI goals, given that the country has set an ambitious target of US$15 billion for its FDI inflows by 2025, and US$30 billion by 2030. The report by the TIC notes that this surge is a result of investor confidence in the East African state. In the same breath, the report also disclosed that the increase in FDI was mitigated by a sharp decline in local investments, resulting in a 14 percentreduction in new investment capital throughout the period under review, from US$2,41 billion to US$2,06 billion. “FDI accounted for 51 percent of the new investments against 49 percent for domestic investments which registered a first-quarter turnover decline from US$1,91 billion in 2022 to US$1,01 billion this year. Almost half ($480,38 million) of the new FDIs went into the real estate sector and another US$245,58 million was directed to manufacturing projects,” The East African report reads in part. “By contrast, domestic investors showed more interest in ventures related to agriculture (US$420,25 million), economic infrastructure (US$212.52 million), and transportation (US$178,32 million),” the publication added. Tanzania’s increase in its FDI comes as no surprise,...