MP Patricia Hajabakiga, a Rwandan member of the East African Legislative Assembly (EALA) has introduced a bill that will control the use, sale, manufacture and importation of polythene materials in the region. Hajabakiga who is the chairperson of EALA Rwanda Chapter said the rationale of the bill is “the protection of the environment” and to harmonize the practice in all five countries. “I moved a motion to seek leave from the Assembly to introduce the Bill seeking to regulate the use of Plastic materials in the EAC. Countries like Rwanda are advanced, Uganda has started implementation, Burundi already has a policy while Tanzania has announced that effective this year they will stop using them,” she told Sunday Times. “It is also important to note that the EAC Treaty in its article 112 provides that Partner States agree to cooperate and promote the biodegradable packaging material in order to arrest the degradation of our environment.” The Bill for an Act entitled East African Community Polythene Materials Control Bill, 2016, once tabled in the near future, will have clauses clarifying what material is prohibited and exempted, as well as clarity of sanctions and penalties. The idea is that the Act will eventually apply to all types of polythene materials; with polythene, in this case, implying a synthetic industrial product with a low density composed of numerous chemical molecules of ethane with a chemical formula: CH2=CH2. As per the lawmakers current draft, the objectives of the Act will be to: establish a legal framework for...

NAIROBI (HAN) August 27.2016. Public Diplomacy & Regional Security News. By Allan Olingo and Bernard Busuulwa. A law capping interest rates in Kenya has stoked fears of copycat legislation in East Africa and a reversal of common integration policies ahead of the launch of a regional monetary union. By virtue of Kenya being the most developed economy in the East Africa Community, its apparent abandonment of the free market ideals at the heart of the monetary union convergence criteria has left regulators and investors uncertain of the direction of the protocol. National Bank of Rwanda Governor John Rwangombwa said money managers across the region were waiting to see the impact the caps would have on access to credit but maintained that controls were not always good in managing financial issues. “National laws are supposed to address national issues. Kenya’s financial sector is the most developed in the region and second to South Africa on the continent. It is a good testing field,” said Mr Rwangombwa. Under the East African Community Monetary Union Protocol, the member states committed themselves to pursue a free market economy with a floating exchange rate. “The policy decision could create some disharmony or friction within the region’s banking sector and eventually affect the monetary union integration process,” said Charles Katongole, senior executive at Standard Chartered Bank Uganda. Joram Ongura, an equities trader at SBG Securities Uganda, said monetary union policy targets could now come under review because they were originally anchored in market determined fundamentals. The immediate impact...

DAR ES SALAAM, Tanzania – The Seventh Ordinary Meeting on the Inter-state Council of Ministers (ICM) of the Central Corridor Transit Transportation Facilitation Agency (CCTTFA) has resolved to address issues on requiring policy, regulatory decisions, it has been revealed. The issues involved include visa requirements, harmonization of road user charges, transit transport facilitation, Tanzania Port Authority in Kigali, the Democratic Republic of Congo and in Bujumbura, among others. The Seventh Ordinary Meeting concluded its meeting in Dar es Salaam last week and the ministers resolved to commit themselves to follow up on the CCTTFA Executive Board recommendations to address those key issues. The ICM is composed of Ministers of Transport from Partner States (Tanzania, Uganda, Congo DR, Rwanda and Burundi), meets once a year while the Board of Directors (Executive Board) is composed of Permanent Secretaries from the Ministries of Transport and one Private Sector representative from all partner States. The meeting was opened, chaired and closed by Prof. Makame Mbarawa, Tanzania’s Minister of Works, Transport and Communications at Kunduchi Beach Resort Hotel. The meeting was also attended by Eng. Jean Bosco Ntuzwenimana, the Minister of Transport, Public works & Equipment (Burundi), Justin Kalumba Mwana-Ngongo, Minister of Transport and Ways of Communication (Congo DRC), Bagiire Aggrey Henry, Minister of State for Transport and Works (Uganda). Minister of Infrastructure of Republic of Rwanda was represented by the Permanent Secretary, Mr. Christian Rwakunda. According to the Joint Communiqué released and read by Capt. Dieudone Dukundane, CCTTFA Executive Secretary, at the end of...

Regional countries need to promote aquaculture because East Africans are not getting enough fish and the amount obtained from available natural water bodies is not enough. MP Christophe Bazivamo (Rwanda), who chairs the committee on agriculture, tourism and natural resources at the East African Legislative Assembly (EALA), said this earlier in the week as he presented the status of fisheries in the region. Aquaculture, the farming of water organisms, involves cultivating freshwater and saltwater populations under controlled conditions, as opposed to commercial fishing, which is the harvesting of wild fish. “Fish production is not adequate from natural waters to cater for high population growth in East African Community partner states. It is for this reason that aquaculture should be promoted,” said Bazivamo. Findings during the committee’s previous oversight activities revealed that even though fisheries are a source of protein to about 150 million people in the Community, per capita fish consumption is less than 10 kg per annum compared to World Health Organisation recommended per capita consumption of 25 kg per annum. Why focus on fish? Nutritionists say fish provides a good source of high quality protein and contains many vitamins and minerals. Dr Robert Kayanda, a regional fisheries expert, earlier informed the committee that latest per capita consumption studies for respective partner states are: Burundi 3.6 kilogrammes, Kenya 3.45 kilogrammes, Rwanda 2.3 kilogrammes, Uganda 10 kilogrammes and Tanzania 8 kilogrammes. Bazivamo, however, noted that low per capita fish consumption in the Community depends on several factors, including low production...

The establishment of East African Monetary Institute (EAMI) has reportedly been postponed. This implies that the EAC aspiration for a single currency may not be realised upon expiry of 10-year roadmap towards a single currency in the year 2024. The postponement has been occasioned by lack of resources. Establishment of the EAMI is precursor to the institution of the East African Central Bank, without which the East African Monetary Unit may not take flight. Tongues are incriminatingly already wagging: Is the EAC single currency really viable, even necessary, especially in light of the lessons we are gleaning from the imminent British exit (Brexit) from the European Union, or the near exit of Greece (Grexit) last year when it wallowed in debilitating debt and seeking bailout? First, Britain’s lesson with the Pound Sterling is that a country may be a member of a highly integrated regional community and yet not be part of a single currency and thrive. But the larger lesson lies in the complications Brexit is posing about what it will mean for labour and free movement guaranteed under the Schengen arrangement, notably what to do with EU citizens living and working in Britain and vice versa – if, and when, Brexit is legally operationalised. Indeed, Brexit has become something of a rallying cry for far-right political parties across Europe that is threatening to tear apart the EU project. Britain may have done well with the Pound Sterling. But the socio-economic and political costs of Brexit to the EU...

Tanzania has started a programme to train tailors in anticipation of plans to implement a regional ban on the importation of second-hand clothes and footwear by 2019. The training is in accordance with the government’s industrialisation plan, and the East African Community’s plan to boost regional trade. Tanzania has started a programme to train tailors in anticipation of plans to implement a regional ban on the importation of second-hand clothes and footwear by 2019. According to the East African, Jenista Mhagama, Minister of State in the Prime Minister’s Office said the training programmes will equip young Tanzanians with tailoring skills. The skilled youths will be employed in clothes and footwear manufacturing factories, which are going to be opened, in line with the government’s industrialisation plan, Mhagama said. Early this year the East African Community (EAC) approved a proposed ban to boost the manufacturing industry, and help grow the region’s economy. The import ban is expected to boost Tanzania’s manufacturing industry, create employment, and help grow the economy. With the training, Tanzania becomes one of the first countries in the region to start preparing for the implementation of the ban. Read: Should the East African Community proceed in banning second-hand clothing? While the ban has its merits, there are concerns that a blanket ban will hurt the poor. Amidst the growing unemployment and poverty, the importation of second hand clothes provides a lifeline to the unemployed (informal traders), while the cheap clothes, often of high quality are irresistible for customers. However,...

Suspending Africa’s newest nation from regional bloc is unlikely to resolve the country’s crisis. WHAT IT MEANS: UN forces are lax in their protection of civilians. A war-torn south sudan allowed into the EAC There was so much promise, on a sunny, jubilant day in South Sudan in July 2011 when the world’s newest nation was created. How could the world know that five years later neighbouring Uganda, Ethiopia and Sudan would each be home to more than a quarter of a million South Sudanese refugees? Lives aren’t the only casualties of the country’s bitter civil war. Fighting between political factions allied with president Salva Kiir or his former vice-president, Riek Machar, has been funded through the fiscus, setting the stage for an economic disaster. South Sudan’s fiscal deficit is forecast to be US$1.1bn (about 25% of GDP) in this financial year. Inflation spiked to 109.9% in December 2015, and hit 661% by July, the country’s statistics bureau says. The transitional government made a recent appeal to Kenya for aid to cover basic expenses, and it has also sought a $1.9bn loan from China. Some companies, like SABMiller and Resolution Insurance, have shut operations in the country. Resolution Insurance, an East African firm, was one of the early entrants to South Sudan. "Economic indicators presented at the time were excellent for an ambitious growing brand," says CEO Peter Nduati. Kenyan employees were in the minority in the South Sudan subsidiary. Once the civil war erupted, "it was difficult to evacuate...

By Lydia Shekighenda As the Vice-President of Total East Africa, Mr Javier Rielo, assured President John Magufuli that preparations for the construction of the 1,410-kilometre oil pipeline from Lake Albert in Uganda to Tanga Port in Tanzania are in good progress, Democratic Republic of Congo (DRC) has shown interest in using the facility. Mr Rielo made the assurance in Dar es Salaam yesterday when he met with President Magufuli to brief him on the progress of work on the construction of the pipeline. He said that his company is determined to ensure that the project is successfully implemented. The construction of the pipeline, with the capacity of transporting 200,000 barrels per day, will provide 1,500 direct employment and 20,000 indirect employments. Speaking after receiving the report, President Magufuli said he believed the project will be of great benefit to Tanzania, Uganda, Total Company and neighbouring countries. He assured Mr Rielo of his government's cooperation in implementing the project despite Tanzania's geographical position being one of the advantages for the project. Meanwhile, the DR Congo government has shown interest in using the pipeline for transporting its crude oil. DRC Minister In-charge of Hydrocarbons, Mr Ngoi Mukena, said in Dar es Salaam yesterday that his country has discovered a lot of oil and preferred to use the crude oil pipeline because the area where the oil has been found is close to it. "I believe that if my country will succeed in using the pipeline, it will be beneficial to both countries...

By Appolonia Uwanziga Women involved in informal cross-border trade on the Rwanda-Uganda border at Gatuna have called for more sensitisation on tax policies and the opportunities presented by the regional market. Aline Muhawenimana, a trader at Gatuna border, said; "Informal cross-border traders still need assistance on the existing tax and trade regulations to be able to formalise their operations." Muhawenimana said many cross-border women traders do not understand these policies, which affects their businesses. She added that though there are incentives they can benefit from, cross-border women traders do not know how to access or are not aware of such benefits or projects. "Some of us who are in the process of formalising our operations and we are beginning to benefit. For instance, we are no longer harassed and the security and safety of our goods is assured, which has enhanced our profits," said Muhawenimana in an interview with The New Times on Wednesday She said free movement of people, goods and services under the single customs territory along the Northern Corridor has improved trade among border communities and hence boosted household earnings. "We are happy that we have sustainable sources of income that has improved our livelihoods," she said. According to Jane Bayera, the chairperson of the Gatuna Crossborder Co-operative, more needs to be done to educate cross-border women traders about trade policies. Meanwhile, Bayera said women traders participate in initiatives aimed at improving the business environment along the Northern Corridor, including identification of non-tariff barriers at customs posts,...

Crafts producers in East Africa will soon be able to sell their products to international markets following the plans to establish an annual professional for Business-to-Business (B2B) trade fair for Home Décor, Fashion Accessories and Lifestyle products in the region. Currently, there is no B2B trade platform for the crafts sector in the whole of East African region. The Africa and Middle East World Fair Trade Organization (WFTO) regional director, Mr Bernard Outah said there is need to establish B2B so that producers could easily sell their products to any country of their choice without problem. He said, at the moment, the only option for producers to reach regional or international buyers is to travel around the region in search of potential buyers or to participate in trade fairs in South Africa, West Africa or International trade fairs in Europe or the US. He said the high cost of participation fails most of African crafts producers from attending international trade fairs. "Failure to access market opportunities is one of the key challenges that face most of African crafts producers in East African region," he said. According to Mr Outah, the establishment of B2B will enable East African crafts producers to excel in the area and boost their businesses at both local and international levels. Meanwhile, the public has been urged to recognize the crafts sector as a key economic sector in the region and offer required support so that it can unfold its potentiality. CBI programme manager for the export...