Cross-border travel after COVID must be safe and predictable and shouldn’t require excess disclosure of personal health information. Developing such crossing experiences will take cooperation between the health sector as well as aviation, travel and tourism sector stakeholders. Timing is of the essence to prevent further harm to economies and make travelers comfortable with travel. When the six nations of the East African Community opened to essential trade in June, COVID-19 testing created kilometers of backed up trucks along the borders as truck drivers waited for hours to get test results. By working together to share test results in a harmonized system, border crossing and regional integration was later accelerated within East Africa. We need this kind of coordination and harmonization on a global scale. Unfortunately, that is not the current trajectory of COVID-19 era border crossing. COVID brought a patchwork of closed borders and complex border entry requirements as reopening countries attempted to balance the urgent need to restart travel and cross-border economic activity against the imperative of protecting their population’s health. Such disparate efforts are slowing travel and halting a range of industries such as tourism. Without intervention, these efforts will lead to fragmented policies and procedures and make international travel confusing and uncertain long into the future. Image: IATA The need: Safe, dynamic borders that respect private data For cross-border traffic to resume fully, travelers need border crossing experiences that are safe, predictable and do not require excess disclosure of personal health information. Such policies are not universally in place....

COVID-19 curbs East Africa’s growth, but still the strongest in the continent Report calls for transition to higher value-added activities to build resilience to shocks Economic disruption caused by the COVID-19 pandemic has pushed East Africa’s growth projection for 2020 down to 1.2 percent, a rate that outstrips other African regions and is forecast to rebound to 3.7 percent in 2021, according to the African Development Bank’s East Africa Regional Economic Outlook 2020. The projection is under the baseline scenario that assumes the virus is contained by the third quarter of this year. Prior to the COVID-19 pandemic, the region’s economic growth was projected at more than 5 percent, well above continent’s average of 3.3 percent and global average of 2.9 percent. However, COVID-19-induced shocks and a locust invasion have contributed to job losses, increased humanitarian needs and will aggravate poverty and income inequality. In the worse-case scenario, in which the pandemic persists until the end of 2020, growth is projected at 0.2 percent, still above Africa’s predicted average of -1.7 percent and -3.4 percent under the two scenarios. At the launch of the report held in Nairobi on Wednesday, Simon Kiprono Chelugui, Cabinet Secretary of Kenya’s Ministry of Labour, said East African countries could overcome the effects of COVID-19 and turn their economies around by mitigating the external and domestic risks. “We need to implement a decisive and coordinated response to contain the spread of COVID-19; mitigate its health and socio-economic effects; accelerate structural transformation; improve the investment climate,...

A report by United Nations Conference on Trade and Development said despite steps taken to develop the country into a regional e-commerce hub, the digitalization of government services is advancing and the government is investing resources into enhancing the overall business environment. “Despite this, Tanzania has yet to adopt a stand-alone e-commerce policy or strategy and e-commerce is not mainstreamed into the national or sectoral trade development strategies. E-commerce development is not currently on the agenda of existing inter-ministerial or public-private dialogue platforms,” the Tanzania’s Rapid eTrade Readiness Assessment report said. The report further noted that with a large and growing population, a competitive mobile network operators (MNOs) market and increasing mobile service delivery, the trajectory of growth of mobile Internet users is positive. “Building the National ICT Broadband Backbone (NICTBB), connected to the region’s main submarine cables, has resulted in lower mobile data prices for end-users. By the end of 2018, 3G and 4G networks covered around 61 per cent and 28 per cent of Tanzania’s population, respectively. This remains considerably lower than the 2G coverage of around 90 per cent,” the report noted. The UNCTAD report stated that although mobile data prices are reasonably low, they remain unaffordable for segments of the population that mostly reside in rural areas which has resulted in a large gap in Internet use between urban and rural areas. “Also, fewer women than men access and use the Internet. Given that most Tanzanians access the Internet through their mobile phones, the low Internet...

Efforts to speed up cargo movement in the region received a major boost Tuesday after the European Union signed a deal with the Trademark East Africa (TMA) to fund safe clearance at the ports and border points. Under the Sh602 million (€5 million) emergency trade programme, mobile testing labs will be provided at Mombasa port and key border crossings, including Busia and Malaba. The programme to be rolled out under public-private partnership will also provide personal protective equipment to port and border point workers to cushion them from Covid-19 spreading at these trade hubs. “This (fund) grant is very important and will complement the government’s efforts that ultimately cushion not only large enterprises but especially also the MSME who rely greatly on the flow of supply chains as most cannot maintain large inventories,” said Trade Secretary Betty Maina. The funds from the European Union will fund the Kenyan component of the programme, making the bloc the largest donor to the programme. “I am, therefore, happy to support this Safe Trade Emergency Facility in Kenya not only as a donor but also by drawing on the EU’s knowledge and experience. This action will support Kenya as the gateway to the EAC by making certain that all supply chains stay open,” said EU Ambassador to Kenya Simon Mordue. Source: Business Daily

The pilot phase of a regional Covid-19 surveillance system for trucks and their crew starts today, Monday, June 15, before its full implementation next week, an official has told The New Times. Towards the end of last month, East African Community partner states adopted the Regional Electronic Cargo and Drivers Tracking System that will be hosted at the EAC Headquarters in Arusha, Tanzania. This came after a consultative meeting chaired by President Paul Kagame on May 12 this year, brought together four East African Community (EAC) leaders and discussed regional efforts to tackle the COVID-19 that has ravaged the world. At the time, the leaders directed concerned regional ministers to "finalise and adopt an EAC digital surveillance and tracking system for drivers and crew on COVID-19 for immediate use by partner states." "Today (Monday) we are doing piloting and next week all goes live," Eng. Daniel Murenzi, the Principal Information Technology Officer at the EAC Headquarters in Arusha, Tanzania, said. "The system delayed to be implemented immediately after the Ministers had approved the system to be used; this was because we had to first do direct integration to the national laboratories." According to Murenzi, last week, a technical test was "done successfully." "And now we are starting piloting this week since we have agreed with transporters. Also, we have finished purchasing equipment through support of Trademark EastAfrica that will be used for screening: these are tablets that will be having an application on." Murenzi noted that each country has assigned a national focal person...

Towards the end of last month, East African Community partner states adopted the Regional Electronic Cargo and Drivers Tracking System that will be hosted at the EAC Headquarters in Arusha, Tanzania. This came after a consultative meeting chaired by President Paul Kagame on May 12 this year, brought together four East African Community (EAC) leaders and discussed regional efforts to tackle the COVID-19 that has ravaged the world. At the time, the leaders directed concerned regional ministers to "finalise and adopt an EAC digital surveillance and tracking system for drivers and crew on COVID-19 for immediate use by partner states." "Today (Monday) we are doing piloting and next week all goes live," Eng. Daniel Murenzi, the Principal Information Technology Officer at the EAC Headquarters in Arusha, Tanzania, said. "The system delayed to be implemented immediately after the Ministers had approved the system to be used; this was because we had to first do direct integration to the national laboratories." According to Murenzi, last week, a technical test was "done successfully." "And now we are starting piloting this week since we have agreed with transporters. Also, we have finished purchasing equipment through support of Trademark EastAfrica that will be used for screening: these are tablets that will be having an application on." Murenzi noted that each country has assigned a national focal person and "we are closely working together." The new system is considered to be another valuable tool to help mitigate the disruption of domestic, regional and global supply chain...

Commencement of trade under the African Continental Free Trade Agreement (AfCFTA) has been pushed to a tentative date in January next year. The African Union Commission’s original date of July 1 is considered untenable due to the Covid-19 pandemic. AfCFTA’s Secretary General Wamkele Mene said African governments are currently focusing on the fight against the pandemic, saving lives and livelihoods. Mr Mene said the market at the moment is not conducive for the launch considering more than 42 countries out of 55 countries in the continent are in lockdown and the containment measures are complicating intra-trade as observed in borders where trucks queuing for more than 50 km waiting to deliver essential goods. WIDE CONSULTATION Addressing private sector players in a webinar organised by Africa CEO’s Forum on Thursday, Mr Mene said the decision to push the date forward was made after wide consultation. “Suspension of the implementation of AfCFTA from July 1 was not my decision but that of African Union Heads of States. I advised the assembly on the reality, facts, science and data on the ground on the situation of Covid-19. The decision of the new date, which also depends on how quick the pandemic is contained, was widely consulted and involved the private sector,” said Mr Mene. The secretary general, appointed by the AU in March to oversee the implementation of the agreement also said the postponement was as the result of the pending negotiations which were halted by the pandemic.   “The Covid-19 crisis was...

The UK government announced on Tuesday it was merging its Foreign Office and development aid offices, in a new strategy it says will help strengthen London’s influence abroad. Prime Minister Boris Johnson told the House of Commons the UK was now facing an increasingly “competitive world” and needed to make changes in government structure to suit the times. It means the Department of Foreign and International Development, which pumps about £100 million (about Ksh13.3 billion) a year into Kenya, will be dissolved in September. “We have a responsibility to ask whether our current arrangements, dating back to 1997, still maximise British influence,” PM Johnson said. Created in 1997, the Department of Foreign and International Development (DFID) had been a separate organ of the UK government charged with managing foreign aid abroad. In Kenya, it spent £98 million last year on hunger safety net programme, regional economic development for trade and investment, as well as other programmes on security, governance and humanitarian work.   Mr Johnson said the department, while successful, having been formed after the Cold War era, was now facing competition as other countries manage aid as a foreign policy issue. The UK foreign policy has traditionally been managed under the Foreign and Commonwealth Office, which was created in 1968 after the merger of Foreign and Commonwealth departments. “This is exactly the moment when we must mobilise every one of our national assets, including our aid budget and expertise, to safeguard British interests and values overseas,” Mr Johnson said...

The trend of declining foreign direct investment (FDI) to Africa is set to exacerbate significantly in 2020 amid the dual shock of the coronavirus pandemic and low prices of commodities, especially oil. FDI flows to the continent are forecast to contract between 25% and 40% based on gross domestic product (GDP) growth projections as well as a range of investment specific factors, according to UNCTAD’s World Investment Report 2020. “Although all industries are set to be affected, several services industries including aviation, hospitality, tourism and leisure are hit hard, a trend likely to persist for some time in the future,” said UNCTAD’s director of investment and enterprise, James Zhan. Manufacturing industries intensive in global value chains are also strongly affected, a sign of concern for efforts to promote economic diversification and industrialization in Africa. Overall, there is a strong downward trend in the first quarter of 2020 for announced greenfield investment projects, although the value of projects (-58%) has dropped more severely than their number (-23%). Similarly, as of April 2020, the number of cross-border merger and acquisition (M&A) projects targeting Africa had declined 72% from the monthly average of 2019. Hope for recovery However, two distinct factors offer hope for the recovery of investment flows to the continent in the medium to long run. The first is the higher value being assigned to ties to the continent by major global economies, promoting investment in infrastructure, resources, but also industrial development. Investments from these countries, which have varying degrees of political...

Maersk Shipping Line and China Ocean Shipping Company have signed a sharing agreement to increase their network in the Eastern Africa region. In the new joint service -dubbed “Mashariki”- the two shipping companies will ensure a dedicated service for both port of Mombasa in Kenya and Tanzania’s Port of Dar Es Salaam. This is a boost to the Port of Mombasa as it will be directly connected to Port of Shangai in China. It will provide to customers, who are served via the port of Mombasa, great access to one of the key markets in China. Furthermore, export customers will experience a great enhancement with cargo from Mombasa to Asia moving on average two weeks faster. From Mombasa, Maersk offers end-to-end transport solutions to many of company’s customers based in Kenya, Uganda and South Sudan for both dry and refrigerated cargo. On Friday, MV Cosco Yinkou became the first ship to arrive in Kenya under the Maersk-Cosco agreement. According to Kenya Ports Authority acting Managing Director Rashid Salim, the new caller, MV Cosco Yinkou, recorded the best performance of 362 crane moves per shift. Source: the-star.co.ke