News Categories: Rwanda News

Region sets June TFTA ratification deadline

MINISTERS from the tripartite group of regional economic communities in eastern and southern Africa have set June 2021 as the deadline to achieve the threshold of 14 ratifications required to enable the Tripartite Free Trade Area (TFTA) to enter into force. The deadline was set during the 2nd Extra-Ordinary Meeting of the Tripartite Council of Ministers held virtually last week. It coincides with the 6th anniversary since the launch of the TFTA agreement on 10 June 2015 in Egypt, said the Common Market for Eastern and Southern Africa (Comesa) in a statement. The tripartite group brings together member States of Comesa, the East African Community (EAC) and the Southern Africa Development Community (Sadc). “The countries that ratified the agreement earlier have not realised the benefits they had expected as they have been held back by those that have not,” the ministers were quoted as saying, noting that some member States have ratified the African Free Trade Area (AfCFTA) but not the TFTA. “The ministers advised countries to delink ratification with the ongoing negotiations. Besides, the team of experts conducting the negotiations confirmed they will be concluded before June this year,” said Comesa. Currently, 10 member States, which are Botswana, Eswatini (Swaziland), South Africa, Zambia, Namibia, Burundi, Egypt, Kenya, Uganda, and Rwanda have ratified the agreement with four more needed to attain the ratification threshold. The Comesa, EAC and SADC member and partner States represent 53 percent of the African Union membership, constitute over US$1,4 trillion Gross Domestic Product (GDP), which...

The impact of the UK-EU agreement on international development | Experts’ Opinions

At the end of December 2020, after intensive negotiations, the approval of a trade deal between the UK and the EU was rushed through the British Parliament. There is, however, still little clarity on what Brexit will mean in practice in the long run. What are the threats and opportunities for international development resulting from the UK-EU agreement? Let’s see what international experts say about that. What are the threats and opportunities for international development resulting from the UK-EU agreement?  Adrian Green, Independent expert “The transition is over and Britain is fully out of the European Union. The Brexit agreement references sustainable development, climate change, public goods, but solely as principles underpinning UK-EU relationships on trade and commerce. On aid, the agreement is silent. Are there major risks or opportunities? Whether the UK contribution to EuropAid will revert into UKAid is a moot point just now with the aid budget reducing, but one direct threat is already evident – many UK development-focused NGOs and private sector bodies face an EU-aid freeze out.  Looking wider, there may be an opportunity to reshape how the UK ‘does’ aid – leading to greater impact in selected focal areas, as a ‘force for good’. The upcoming UK leadership of the G7 and Glasgow COP could be useful divining rods. Among these, topical in the Brexit environment, are: beefing up British business ethics, stronger illicit finance/tax avoidance rules, offering vastly better trade and invest B2B partnership terms than the EU does for developing nations. Backed by significant...

The UK Prime Minister’s Trade Envoy Theo Clarke Virtually Visits Projects Funded by the UK in Kenya

26th February, Nairobi - United Kingdom (UK) Trade Envoy to Kenya Theo Clarke has today virtually visited projects funded by UK government in Kenya among them the Integrated Customs Management System (iCMS), Regional Electronic Cargo Tracking System (RECTS) and Regional Electronic Cargo and Driver Tracking System (RECTDS) implemented in partnership with the Kenya Revenue Authority (KRA). Speaking during the virtual visit, attended by senior government officials and officials from TradeMark Africa (TMA), through which these projects were funded, the envoy underscored the special trade relationship between Kenya and the UK. Trade between the two nations was worth Ksh 79 billion in 2019 with the trade balance in favour of Kenya. Main Kenyan exports to the UK in the year were coffee, tea and spices at Ksh 18.6 billion (£121 million), vegetables at Ksh 12.1 billion (£79 million) and live plants mainly flowers at Ksh 8.3 billion (£54 million). The UK market accounted for 43% of total exports from Kenya as well as 9% of her cut flowers. British firms sold East Africa’s leading economy goods worth Ksh 125 billion (£815 million) mainly in machinery, pharmaceuticals, and automobiles. The UK is the largest European foreign investor in Kenya, with more than 100 British firms based in Kenya among them Vodafone, BAT, Diageo, Standard Chartered Bank, GlaxoSmithKline, ACTIS, Unilever and De La Rue. The UK Prime Minister’s Trade Envoy to Kenya, Theo Clarke MP, said: “I am pleased that during the day of my first virtual visit as the Prime Minister’s Trade...

Waving or Drowning? The Impact of the COVID-19 Pandemic on East African Trade

Regional economies proved resilient but not yet out of the woods. Nairobi, Friday, 17 February 2021: TradeMark Africa (TMA), in partnership with the UN Economic Commission for Africa (UNECA) and African Economic Research Consortium (AERC), today launched a flagship report titled, "Waving or Drowning? The Impact of the COVID-19 Pandemic on East African Trade". The virtual session of policy makers, researchers, academics, and non-state actors discussed the link between COVID-19 pandemic and trade within the East African region. The report establishes that the EAC economies were resilient against the pandemic, with exports holding up well and the regional trade balance improving due to lower imports. Furthermore, the report notes that although intra-regional trade initially suffered serious disruptions, it quickly recovered, as Partner States ensured the movement of essential goods and adopted measures to minimize disruption on the main transport corridors while still observing the COVID-19 health protocols. The report highlights the recovery in key export sectors. For example, Burundi raw coffee exports increased from an average of Burundia Franc (BIF) 654 in the second quarter to Burundian Franc  (BIF) 4500 in the third quarter; while Uganda exports increased by approx. 21 percent between the second and the third quarter, while in Rwanda non-mineral exports increased by 46%. Speaking at the event  AERC Executive Director Professor Njuguna Ndungu, said; “The advent of the COVID-19 sent shockwaves into the emerging new sectors, such as tourism, manufacturing and financial intermediation thus compromising the recovery. Several indicators from diverse studies seem to indicate that...

IGAD and EU hand over of PPEs, lab test kits to Kenyan Gov’t

The Intergovernmental Authority on Development (IGAD), the delegation of the European Union to Kenya and the United Nations Office for Project Services (UNOPS) on Monday handed over of medical supplies to the Kenyan Government. The supplies are part of the EU-IGAD COVID-19 Response project in the IGAD region and consists of assortment of Personal Protective Equipment (PPE), Laboratory test kits for COVID-19 (25,056 tests), two standard ambulance, one advanced ambulance and a mobile laboratory worth 1.9 million Euros. “The EU has responded to us immediately after the IGAD Summit on COVID-19. We are aspiring to be very close to the communities. We thank the government of Kenya, our partners, the European Union, UNOPS, Germany Embassy, World Food Program (WFP), GIZ, International organization for Migration (IOM), Trade Mark East Africa (TMA) and all other partners working with IGAD. IGAD is working very closely with each and every one of you in different areas’, Dr. Fatuma said, on behalf of the Executive Secretary for IGAD Dr. Workneh Gebeyehu. She expressed her satisfaction in witnessing that the supplies meant to fight COVID-19 have reached the people they were intended to reach. They will be put in use at cross-border areas. Two ambulances and the mobile laboratory are expected in the country at a later date and will be handed over to the respective priority cross border site in the country. Similar events are planned at all the IGAD member countries. Others present during the official ceremony at the Kenya Medical Training College (KMTC),...

Boost for EAC green trade

DENMARK has committed to support green trade and the fight against the Covid-19 pandemic in the East Africa Community (EAC) region. The funding will be channeled through TradeMark Africa (TMA), a leading Aid for Trade Organisation renowned for partnering with Eastern African governments to reduce barriers to trade, through automation and adoption of sustainable physical infrastructures such as One Stop Border Posts (OSBPs) and ports, among others. In the two agreements, 14.5 million US dollars will support Kenya's efforts to transition to green trade and create sustainable jobs under the Denmark and Kenya Strategic Framework for 2021 to 2025. The second agreement of 3 million US dollars will support continued response to Covid-19 under TradeMark Africa's Safe Trade Emergency Facility Programme. Denmark Ambassador to Kenya, Mr Ole Thonke was quoted as saying that with the green trade funding (14.5 million US dollars), TMA will partner with government institutions and private sector in adopting sustainable and efficient transport, infrastructure for reduced barriers to trade, improving trading standards, sanitary and phytosanitary issues and improving business competitiveness. The new funding will build up on results that have been achieved in previous programs funded by Denmark, including support to non-motorised transport in the ongoing construction of Mbaraki Road in Mombasa, to include construction of storm water drainage facilities for climate change adaptation, installation of street lighting, construction of footpaths, walkways, and access ramps to enhance movement and safety of people living with disabilities. In automation, Denmark's funding will ensure that government agencies in partnership...

CNN’s Connecting Africa explores transport infrastructure across the continent

February 2020 – 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. “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.” CNN’s Connecting Africa explores transport infrastructure across the continent Brandspurng In the future, the S-G-R project is planned to connect Mombasa to Malaba on the border with...

Data, tech drive Africa’s transport renaissance

Africa has been betting on data and technology to transform transport infrastructure which continues to boost trade and enhance integration. Since Kenya’s Standard Gauge Railway, SGR, was launched in 2017, it 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, in an interview with CNN International’s Connecting Africa programme explained 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 SGR 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 SGR project is planned to connect Mombasa to Malaba on the border with Uganda and continue onward to Kampala....

Sustainable trade is the best solution to African poverty

We’re delighted to hear that it’s now possible to buy incredible African products while supporting sustainable job creation in countries like Madagascar, Ethiopia, Uganda and Kenya. Proudly Made in Africa (PMIA) is an Irish charity promoting Africa’s world-class products globally. They strive to promote “trade not aid” messaging in everything they do and emphasise that creating sustainable African jobs is the best solution to African poverty. Feena Kirrkamm, Head of Operations at Proudly Made in Africa, says, “We’re changing up charity. We empower African producers to trade their world-class products globally. The result? Sustainable trade, not aid. By supporting African producers, connecting them with buyers, promoting their products and educating consumers, Proudly Made in Africa is empowering people.” These innovative African businesses not only produce organic, fairly traded, environmentally-friendly, award-winning products but also support female empowerment in Nairobi, Kenya and Tanzania, add value to improve livelihoods working towards living income, and are leading habitat conservation efforts of the mountain gorilla. PMIA supports, connects and promotes these African businesses and now sells their products through the online store. Shop everything from organic teas, spices and cocoa beans to handmade soft toys, natural soaps, vegan certified Great Taste Award-winning chocolate, and the world’s first Fair Chain coffee. You can also make a donation here to ensure PMIA can continue their important work. Feena adds, “We are so excited to see our online store live. Our vision for PMIA is a world where African communities thrive, trading on equal terms with the rest of the world, and our shop...

The impact of the UK-EU agreement on international development | Experts’ Opinions

At the end of December 2020, after intensive negotiations, the approval of a trade deal between the UK and the EU was rushed through the British Parliament. There is, however, still little clarity on what Brexit will mean in practice in the long run. What are the threats and opportunities for international development resulting from the UK-EU agreement? Let’s see what international experts say about that. What are the threats and opportunities for international development resulting from the UK-EU agreement? Adrian Green, Independent expert “The transition is over and Britain is fully out of the European Union. The Brexit agreement references sustainable development, climate change, public goods, but solely as principles underpinning UK-EU relationships on trade and commerce. On aid, the agreement is silent. Are there major risks or opportunities? Whether the UK contribution to EuropAid will revert into UKAid is a moot point just now with the aid budget reducing, but one direct threat is already evident – many UK development-focused NGOs and private sector bodies face an EU-aid freeze out. Looking wider, there may be an opportunity to reshape how the UK ‘does’ aid – leading to greater impact in selected focal areas, as a ‘force for good’. The upcoming UK leadership of the G7 and Glasgow COP could be useful divining rods. Among these, topical in the Brexit environment, are: beefing up British business ethics, stronger illicit finance/tax avoidance rules, offering vastly better trade and invest B2B partnership terms than the EU does for developing nations. Backed...