ZAMBIA and DRC have agreed among other things to engage all relevant border agencies and commence extension of operating hours from 06:00 hours to 22:00 hours. Currently, the border operating hours have been from 06:00 hours to 18:00 hours. The agreement follows a ministerial bilateral trade meeting that took place at Kasumbalesa Border Post on September 29. Commerce minister Chipoka Mulenga signed on behalf of Zambia while his counterpart, external trade minister Jean Lucien Bussa Tongba, represented the Democratic Republic of Congo. The other agreements were that DRC should expedite the ratification of the bilateral trade agreement that was signed in Lusaka on August 6, 2015. It was also agreed that the two respective ministries of trade and the designated focal points responsible for coordinating the memorandum of understanding should enhance utilisation of the MoU by exchanging information on traders of products covered by the memorandum. And in a joint communiqué, it was agreed that Zambia would expedite the process of demolition of structures along the border on the Zambian side and provide an update on the progress made after three months. Further, it was agreed that the customs administration and security agencies of the two countries continue collaborating in the fight against smuggling at Kasumbalesa Border post. It was also agreed that the technical working group from the two countries commence meetings in December this year to work on the establishment and implementation the Simplified Trade Regime (STR) at Kasumbalesa. “The DRC government to give feedback on progress made...

Dr. Olusola Oloba, the Agriculture Sector Coordinator at the Secretariat of the National Action Committee of AfCFTA, Abuja, in this interview with EHIME ALEX, explains why AfCFTA may take longer time to realise its objective Could you bring us to speed with what African Continental Free Trade Area has been doing since it commenced work in January? The African Continental Free Trade Area is a trade body that aims to create a single market for goods and services in Africa, while the AfCFTA agreement is one of the major trade components that explain economic integration and talk about free trade. We also have the Customs Union. This happens when state parties begin to look at common external tariffs. Precisely, AfCFTA came into play in May 2019 after about 22 states ratified the agreement. But Nigeria signed the agreement in July 2019, making her the 53rd out of the 55 countries in Africa. What the agreement aims, majorly, is to create a single market for goods and services in Africa, as well as liberalise the market. When people are free to move across borders, goods and services are also free to move. It also contributes to the movement of capital and persons. What do I mean by this? The second phase of the agreement intends to look at what we call “cross-border investment” – the possibility of countries investing in other countries within the continent; for instance, a business tycoon from South Africa coming to invest in Nigeria. There are phases, actually....

A mantra that will be often heard in the corridors of power, whether in the developed or developing world, is that ‘the future belongs to the nations of the global south’. While this might seem like hyperbole, the potential of the Global South to become the driver of the world economy is absolutely real because the numbers reveal that to be true. Africa has 50% of the world's unused arable land (food demand is expected to increase on our continent by over 200% by 2030 and globally by over 50% by 2050). In addition, with improved logistics, the harnessing of better agricultural practices, and strong government and multilateral support, the future for agriculture and agri-business on the continent is bright. Among the many factors that will turn the obvious potential of Africa’s agriculture into reality is the strength of the continent’s commodity markets. Commodity markets have been dominated by the traditional global powerhouses (The United States of America, Japan, Australia, Germany, and Canada). However, what we are now seeing is that some of the largest commodity exchanges are now operating in emerging markets like India, Brazil, and China. While CME Group Inc (founded in 1848 at the Chicago Board of Trade) dominates the commodity exchange industry with over 20 million individual contracts transacted daily in recent years, others such as the ICE (International Exchange) and TOCOM (Tokyo Commodity Exchange) transact millions of commodity transactions daily worth tens of billions of dollars. The ability of these exchanges to connect producers to...

SUMMARY It is not right that even after the government has invested billions of shillings in tightening clearance procedures at the port and taking them online, unscrupulous officials are still able to clear containers manually. Obviously, this is denying the government much-needed revenue, but also, constitutes a security threat to the country where dangerous material can easily be allowed in. It also has the effect of damaging the reputation of the port, which will be costly in an environment of intense competition with fellow East African ports for business. The reported smuggling scandal at the port of Mombasa is a pointer to a failure in systems meant to prevent such acts at the key gateway, and will take more than a few arrests to resolve permanently. It is not right that even after the government has invested billions of shillings in tightening clearance procedures at the port and taking them online, unscrupulous officials are still able to clear containers manually. Obviously, this is denying the government much-needed revenue, but also, constitutes a security threat to the country where dangerous material can easily be allowed in. It also has the effect of damaging the reputation of the port, which will be costly in an environment of intense competition with fellow East African ports for business. The damage extends beyond finances, with security agencies saying that the port has become a key exit point for game trophies poached in East Africa meant to be shipped to Asia. It has also been flagged...

Intra-East African Community (EAC) trade dropped by 5.5 per cent, to $5.9 billion in 2020 due to the Covid-19 pandemic, officials revealed Wednesday, September 29, during a webinar focused on regional trade and investment recovery amidst the pandemic. As noted, intra-EAC trade figures stood at $6.3 billion in 2019, an improvement from $6.1 billion in 2018 – indication that the gains made in 2019 were wiped out in 2020. The East African Business Council CEO, John Bosco Kalisa, said the private sector is central in driving the economic recovery agenda for the six-member bloc during the pandemic. He told The New Times that intra-EAC trade is important as the measure for trade competitiveness and industrialization. Once the intra-regional trade grows, Kalisa said, it means more jobs are created and poverty is reduced across the region. Asked what he thinks will be the most important measures to revive the Covid-19 hit intra-EAC trade, Kalisa said: “The following are key: rolling vaccinations especially for key sectors such as tourism, logistics and transport, light manufacturing as well as agribusiness.” “These sectors are important in kick staring the growth of our economies, removal of various nontariff trade barriers as well as crafting sound stimulus packages for SMEs such as cheap and affordable access to finance as well as removal of various taxes to enable businesses recovery.” The EABC in partnership with partners including the African Economic Research Consortium (AERC), Kalisa told participants during Wednesday’s webinar, conducted Covid-19 impact studies to inform policies in order...

Uganda has waived all visa entry requirements for South Sudan citizens entering the country. The decision was taken in the 36th meeting of the Council of Ministers of the East African Community (EAC). The Council of Ministers recognized the “protocol of free movement of persons within the region.” “In the pursuance of the spirits of Pan Africanism, this is therefore to notify you that with effect 1st October 2021, citizens of the Republic of South Sudan will not be required to pay the visa entry fee to enter into the Republic of Uganda,” said Apollo Kasiita Gowa, the Director, Citizenship and Immigration Control. In response, South Sudan applauded Uganda for the decision. “The Ministry of Foreign Affairs and International Cooperation of the Republic of South Sudan welcomes the decision of the Government of sisterly Republic of Uganda to waive entry visa requirements for the citizens of the Republic of South Sudan with effect from 1st October 2021,” reads the statement from South Sudan Foreign Affairs Ministry. In reciprocity, South Sudan Foreign Affairs Ministry announced that South Sudanese Government has directed its Ministry of Interior through its Directorate of Nationality Passports and Immigration to waive visa entry requirements for Ugandan citizens holding valid passports issued by Uganda Government with effect from Monday, October 4, 2021. “The entry and exit points, including our Missions and Embassies abroad are directed to comply with the directive,” South Sudan Foreign Affairs Ministry said. “The Ministry of Foreign Affairs and International Cooperation of the Republic of...

Over 100 officials from local government structures across the East African Community are in Kigali for a meeting due to start on Wednesday, October 6, with Covid-19 recovery top on the agenda. Prime Minister Edouard Ngirente is expected to officially open the four-day gathering to be held under the theme “Leveraging the role of local and county governments to fast-track achievements of the EAC Integration Agenda.” Speaking to The New Times, Prosper Mulindwa, and Director General for Local Government Planning, Monitoring and Evaluation at the Ministry of Local Government, said that, as part of the agenda, participants will discuss strategies related to Covid-19 recovery as a driver for the bloc’s trade and regional development. Other items on the agenda, he said, include domestication of the Sustainable Development Goals in East Africa, the impact of the decentralisation and devolution system in East Africa as well as strengthening engagement with the East African Community. The officials will also elect a new chairperson of the East Africa Local Government Forum (EALGF), an agency that brings together ministers of local government, local government associations, and organizations with an interest in local government across the East African region. Read original article

The onset of the pandemic and its effects like the lockdown has seen an increase in innovations in mobile commerce targeting especially the massive consumer market at the lower and mid-tier of the digital space. The onset of the pandemic and its effects like the lockdown has seen an increase in innovations in mobile commerce targeting especially the massive consumer market at the lower and mid-tier of the digital space. One of these mobile commerce innovations is Copia which believes the East African Community with nearly 200 million consumers presents a strong base. Copia is service targeting the African mass consumer market, as well as the unbanked and unconnected consumers who live in hard-to-reach areas, where formal retail does not access today. Today, Copia’s mobile commerce platform combines with a digitally enabled, locally-based network of intermediaries who operate as ordering and delivery points for products. After an order is placed, Copia sends an SMS order confirmation to both the agent and the customer and in two days, Copia delivers the products to the agent for customer pick up. Consumers can then pay for purchases through cash or mobile money solutions. “The advantage is convenience. It enables us to cut out the hassle of going out to get the products at different points. However, I have heard some people complain of quality in some cases. This needs to be sorted out within the digital commerce platforms,” Roland Odinga, a commercial lawyer, based in Gayaza. A statement issued by Copia, indicates that...

The African Export-Import Bank (Afreximbank) and AfCFTA Secretariat announced the operational roll-out of the Pan-African Payment and Settlement System (PAPSS), a Financial Market Infrastructure to enable instant, cross-border payments in local currencies between African markets. By simplifying cross-border transactions and reducing the dependency on hard currencies for these transactions, PAPSS is set to boost intra-African trade significantly and underpin the implementation of the African Continental Free Trade Area (AfCFTA). PAPSS will serve as a continent-wide platform for the processing, clearing and settling of intra-African trade and commerce payments, leveraging a multilateral net settlement system. Its full implementation is expected to save the continent more than $5 billion in payment transaction costs each year. Benedict Oramah, President of Afreximbank and Chairman person of PAPSS Management Board, said: “With the implementation of PAPSS, Africa can expect to begin to reap the fruits of the African Continental Free Trade Agreement. Afreximbank is proud to have contributed in the realization of the multi-decade dream that seemed unachievable just a few years ago. PAPSS is not positioned to replace existing regional and national payment systems but to collaborate and work with them in better integrating African economies for the benefit of all. We thank the African Union, the AfCFTA Secretariat, the West African Monetary Institute and African Central banks for a remarkable outcome.” The development of a pan-African payments infrastructure has been made possible by some of the continent’s leading institutions. The platform has been developed by Afreximbank, who also acts as the main Settlement...

SUMMARY The platform will enable traders to conduct cross-border trade using information technology to minimise physical barriers. Sokokuu is Swahili for big market. The platform enables manufacturers and suppliers in different member states to share information on their potential to produce and supply products. The Comesa Federation of Women in Business and the African e-Trade Group (Ae-Trade) have launched an online platform Sokokuu for traders in the regional bloc. The platform will enable traders to conduct cross-border trade using information technology to minimise physical barriers. Sokokuu is Swahili for big market. The platform enables manufacturers and suppliers in different member states to share information on their potential to produce and supply products. Sokokuu will complement existing platforms such as the womenconnect, which is used by women entrepreneurs in regional states to exchange information on the availability of essential products within the region. Two other Common Market for Eastern and Southern Africa (Comesa) institutions, such as the Comesa Business Council and the African Leather and Leather products) have already signed memoranda of understanding with Ae-Trade to implement the Sokokuu platform. The AeTrade is a multi-stakeholder group of African professionals and business owners with a vision to develop and implement an e-empowerment programme, which will enhance intra-and inter-African trade. The group brings together public and private sector partners to develop projects that leverage the power of information and communication technologies (ICTs) for the benefit of entrepreneurs in Africa. Speaking at the launch, during the Second Comesa Federation of Women in Business Annual...