News Categories: Rwanda News

CNN’s Connecting Africa explores transport infrastructure across the continent

In the latest episode of Connecting Africa, CNN International’s Eleni Giokos explores how data and technology are transforming transport infrastructure across the continent. First up, Giokos visits the Kenya Standard Gauge Railway (S-G-R) to see how it is benefitting the import and export industry. Since it was launched in 2017, the S-G-R has moved more than four million tons of cargo along a vital transportation corridor connecting Naivasha and Nairobi with the Port of Mombasa. Abhishek Sharma, Senior Director of Transport at TradeMark Africa, tells Giokos how the railway has impacted trade at the port, “Our whole transport system has been realigned. For the longest time, very little cargo was moving by rail, up to 95% of the cargo was moving by road. Suddenly, there has been a massive shift where for containerised cargo from Mombasa to Nairobi 60% of the imports are moving by rail. So, it's a whole different way in which things are being done.” In a region with many landlocked countries, logistics costs can add up to 60% on the consumer price of imported basic commodities. Sharma speaks about the positive impact the S-G-R has had on reducing these costs, “Any intervention which reduces the cost of logistics in our region, makes a big difference to what the people in our region can achieve in terms of their health outcomes and educational outcomes, as well as, you know, to be able to save a bit more.” In the future, the S-G-R project is planned to connect...

COVID-19: E.African countries told to ring-fence crucial exports

East African Community (EAC) member states have been urged to continue ring-fencing crucial export sectors from lockdown measures because the pandemic is far from over. This advice is contained in a research report produced by the United Nations Economic Commission for Africa (UNECA), in partnership with TradeMark Africa (TMA) and African Economic Research Consortium (AERC) that was launched last week. Titled; "Waving or Drowning? The Impact of the COVID-19 pandemic on East African Trade”, the report notes that whereas EAC economies have so far been resilient against the effects of the COVID-19 pandemic, they are “not out of the woods”. This is because of the pandemic’s rapidly evolving nature and its spillover effects, which may still present a significant threat to trade and commerce within the region over the coming years. Speaking during the launch of the report last week, TMA chief executive officer Frank Matsaert alluded that the pandemic is going to be around for some time, thus the need to draw lessons and support countries to fully recover. Matsaert explained that the report provides a good starting point for governments, private sector and other stakeholders to think about how to respond to the pandemic and its impact on trade, in the medium and longer-term, adding that evidence-based interventions are crucial for robust policymaking and programmatic responses. Stable exports According to the report, EAC exports have recovered to pre-crisis levels, despite the earlier sharp decline posted in April 2020, with most EAC member states’ exports surpassing their 2019 levels...

Economic diversification in East Africa: Time to redouble efforts

When the COVID-19 pandemic crisis started; most people were extremely pessimistic. They thought that the the region would drown in terms of trade declining catastrophically. But in actual fact the the East Africa Community economies (Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda) have, by global standards, proven to be relatively resilient. The newly launched joint report by UN Economic Commission for Africa (UNECA), TradeMark Africa (TMA) and African Economic Research Consortium (AERC) entitled 'Waving or Drowning? The Impact of the COVID-19 Pandemic on East African Trade' notes that declines in imports broadly reflected the adverse trade performance of the EAC's main trading partners during the early phases of the pandemic in April and May 2020, but the imports of all the EAC Partner States subsequently recovered to pre-pandemic levels by the second half of 2020, after governments' lockdown restrictions were eased and a broader global trade recovery started to take place. Nonetheless, despite showing resilience, COVID-19 has reversed some of the gains made in trade facilitation. Immediately after COVID-19 outbreak, the ship dwell time at Mombasa port increased by 48% and Berth time increased by 52% . Cargo transit from Mombasa Port to Malaba (the border between Kenya and Uganda) increased from 7 days to 11 days by the second quarter of 2020. The time taken to transport goods via the Mombasa-Busia route was nearly three times higher. On the Central Corridor, the transit time from Dar-es-Salaam to various cities in the neighbouring countries more than doubled. The marked...

Roundup: EAC economies resilient against COVID-19 amid greater economic diversification need: UN report

ADDIS ABABA, Feb. 18 (Xinhua) -- The East Africa Community (EAC) economies have proven to be relatively resilient in terms of the catastrophic impact of the COVID-19 pandemic despite greater need for economic diversification, according to a newly launched United Nations Economic Commission for Africa (UNECA) report. The newly launched joint report by UNECA, TradeMark Africa (TMA) and African Economic Research Consortium (AERC), entitled "Waving or Drowning? The Impact of the COVID-19 pandemic on East African Trade." "They thought that the region would drown in terms of trade declining catastrophically. But in actual fact, the EAC economies (Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda) have, by global standards, proven to be relatively resilient," the joint report read. The report noted that declines in imports broadly reflected the adverse trade performance of the EAC's main trading partners during the early phases of the pandemic in April and May 2020. It, however, indicated that the imports of all the EAC partner states subsequently recovered to pre-pandemic levels by the second half of 2020, after governments' lockdown restrictions were eased and a broader global trade recovery started to take place. "Nonetheless, despite showing resilience, COVID-19 has reversed some of the gains made in trade facilitation," the report affirmed. According to the report, the marked increase in transit times highlights the challenges posed by the COVID-19 pandemic at border points. Immediately after COVID-19 outbreak, the ship dwell time at Mombasa port, in Kenya, increased by 48 percent and Berth time increased by 52...

East Africa’s exports recovered to pre-Covid levels: UN

Exports from most of the East African Community (EAC) member states recovered to the pre-Covid-19 levels by the third quarter of 2020, a United Nations report released said. The report by the United Nations Economic Commission for Africa (UNECA) noted that aggregate exports from the region declined to their lowest value in April 2020 but they started recovering in the ensuing months, the Xinhua news agency reported on Thursday. "In fact, in the third quarter of 2020, most of the EAC partner states' exports surpassed their 2019 levels," said the report that was developed jointly with TradeMark Africa (TMA) and the African Economic Research Consortium (AERC). The EAC partner states include Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda. The report which was virtually launched in Nairobi focuses on providing an analysis of the region's merchandise trade performance during this unprecedented period of disruption to global commerce. Anthony Mveyange, director of research and learning at TMA noted that a number of factors fueled the resurgence of exports. Mveyange said that Kenya experienced an increase in exports of manufactured products, especially in the industrial supplies and capital equipment sectors. He observed that Tanzania and the other landlocked countries in East Africa also witnessed a jump in processed and gold exports. "Thus the recovery in the regional exports does not hinge purely on mineral exports," he added. The findings indicate that imports into the trading bloc have also rebounded rapidly from the initial precipitous declines. The study also shows that intra-EAC trade...

Time to Redouble Efforts for Economic Diversification in East Africa

NAIROBI (IDN) — When the COVID-19 pandemic crisis started, most people were extremely pessimistic. They thought that the region would drown in terms of trade declining catastrophically. But a new report reveals that the East Africa Community economies — Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda — have, by global standards, proven to be relatively resilient. The report was launched on February 17 by UN Economic Commission for Africa (UNECA), TradeMark Africa (TMA) and African Economic Research Consortium (AERC). The Office for Eastern Africa of the UN Economic Commission for Africa (UNECA) serves 14 countries: Burundi, Comoros, Democratic Republic of Congo, Djibouti, Ethiopia, Eritrea, Kenya, Madagascar, Rwanda, Seychelles, Somalia, South Sudan, Tanzania and Uganda. TMA has its headquarters in Nairobi, Kenya, with operations and offices in EAC-Arusha, Burundi (Bujumbura), Tanzania (Dar es Salaam), Democratic Republic of Congo (Bukavu), Ethiopia (Addis-Ababa), Malawi, Zambia, South Sudan, Uganda (Kampala) and Rwanda (Kigali). TMA is an aid-for-trade organisation established in 2010, with the aim of promoting prosperity in East Africa through increased trade. It operates on a not-for-profit basis and is funded by the development agencies of the following countries: Belgium, Canada, Denmark, Finland, Ireland, Netherlands, Norway, United Kingdom, United States of America as well as the European Union. African Economic Research Consortium established in 1988, is a premier capacity building institution in the advancement of research and training to inform economic policies in sub-Saharan Africa. Entitled "Waving or Drowning? The Impact of the COVID-19 Pandemic on East African Trade", the report notes...

African Continental Free Trade Area should be used as a driver of peace and security on the continent

Insecurity and political tension continue to undermine Africa by disrupting peacebuilding, development and governance efforts. A key driver of insecurity has been the effects of the arbitrary borders bequeathed to the African continent by the ravages of predatory colonialism. Traditional interstate wars have been increasingly replaced by intrastate conflicts. The African Continental Free Trade Area (AfCFTA) was formally launched this year and was discussed during the annual African Union (AU) heads of state and government meeting, which was held on 6 and 7 February 2021, in Addis Ababa, Ethiopia. South Africa’s chairing of the assembly of heads of state was also concluded during this meeting. The AfCFTA was launched due to the realisation that intracontinental trade in Africa is still relatively weak when compared with other regions of the world, and accounts for only 16%-17% of all of Africa’s exports and imports. The establishment of a continent-wide geographic zone where goods and services move among member states of the African Union with no restrictions has also created one of the world’s largest trading blocs. However, the fact that there are pockets of instability and conflict around the continent requires some reflection to be applied to how to leverage the AfCFTA to also promote peace and security. The regionalism which has been accelerated by the adoption of the AfCFTA will bring with it a combination of threats and opportunities which will impact upon the peace and security situation across the continent. The predominant fear is that the AfCFTA, and its effects...

Yard extension, SGR volumes boost cargo handling at Mombasa Port

In Summary KPA has taken over operations at Port Reitz Yard increasing cargo handling space. Introduction of double deck wagons on the SGR have also significantly contributed to increased cargo evacuation from the port. Kenya Ports Authority (KPA) has posted reduced cargo dwell-time at the Port of Mombasa after acquiring more space outside the port, according to the acting managing director Rashid Salim This, together with increased haulage capacity by the Standard Gauge Railways (SGR) has helped cut dwell-time (the time cargo takes before leaving the port), to an average 4.6 days in January, from 5.6 days in December. Salim said centralised operations have helped drive efficiency at the facility amid a rebound on economic activities after a slow down last year. Recently, KPA took over the operations at Port Reitz Yard, an adjacent space to the port formerly occupied by private Container Freight Stations. Salim said the authority has reorganised the planning units of the logistics partners, increasing harmony in the operations of the unit leading to end-to-end efficiency in port operations. Loading of double deck wagons has greatly boosted the number of containers being evacuated. We started with one double deck train of 38 wagons hauling 114 TEUs and this has now stabilised at two trains per week. KPA acting managing director Rashid Salim Dangerous cargo loading which was previously experiencing great delays due to distance of the loading zone from stacking blocks was improved by allowing it to be loaded at Port Reitz. Additionally, centralisation of the...

Belgian Isabelle Durant replaces Kituyi at UNCTAD

The United Nations Secretary General Antonio Guterres has appointed a Belgian Isabelle Durant as the Secretary General of UNCTAD at an acting capacity. Durant was appointed to replace Mukhisa Kituyi who resigned to pursue his political ambitions in the oncoming General Elections in Kenya. "She is committed to working with all stakeholders to ensure the people served by the organization get the support they need during the crisis and on the path to recovery," announced UNCTAD Tuesday afternoon EAT. Ms. Durant will not serve in a full capacity as she is expected to ensure a smooth transition ahead of the main recruitment. She expressed gratitude and promised to propel the UN's trade organ. “I’m deeply honoured to lead UNCTAD at this critical time as countries all over the world battle a deadly pandemic and the worst economic crisis in nearly a century,” Ms. Durant said. “I’m committed to working with all stakeholders to ensure the people we serve are supported during this crisis and feel us by their side on the path to recovery,” she said. She added “I’ll work closely with UNCTAD’s 195 member states to prepare the organization for a meaningful 15th quadrennial conference in Barbados in October, for a more resilient and inclusive world of shared prosperity.” UNCTAD praised Ms.Durant as gender crusader who has made international trade more inclusive. Ms. Durant has been heavily involved in the socio-economic response of the UN to the coronavirus crisis and has led the work of UNCTAD in this area,...