Truck drivers also applauded the interventions the NCTTCA secretariat has put in place so far including the real-time quick response. Stigma along the Northern Corridor and delays at Malaba border crossing point are the biggest challenges facing transit truck drivers. The chairman of Kenya Long Distance Drivers and Conductors Association (LoDDCA), Mr Roman Waema said that truck drivers are not allowed to stop at designated areas in some counties in Kenya such as the Machakos for fear that they will spread the coronavirus. “Sometimes we are forced to drive for over four hours without stopping, going as far as 400km, just because people do not want us to stop in their neighbourhoods,” Waema said. The drivers said that they had been facing stigmatization in different places due to misinformation by the public with some being treated suspiciously even by very close family members. He was speaking during the launch of the sensitization campaign against the spread of COVID-19 and stigmatization along the Northern Corridor when the Northern Corridor Transit Transport Coordination Authority (NCTTCA) did a one week-long exercise of distributing 10,000 masks and reflective jackets to long distance truck drivers. The exercise was carried out in Mombasa and at the weighbridges- Busia, Webuye, Mariakani, Athi-River and Gilgil. Truck drivers also applauded the interventions the NCTTCA secretariat has put in place so far including the real time quick response through a WhatsApp group dubbed “Northern Corridor Stakeholders Forum”. “We appreciate the Northern Corridor Secretariat for their solidarity with the drivers and...

The COMESA bloc has developed an online portal for member states to exchange information on availability of essential products within the region as part of its strategy to lessen the impact of the Covid-19 pandemic. According to COMESA Secretary General, Chileshe Kapwepwe, the platform will connect buyers to suppliers of essential goods thereby promoting and fostering intra-COMESA trade. It is a platform largely meant to support regional trade, during the Covid-19 pandemic. Mwangi Gakunga, Head of Corporate Communications at the COMESA Secretariat, on Monday, July 20, told The New Times that the new tool "will enable suppliers in one country link up with buyers in another by uploading the products they have on the platform." Gakunga explained that for it to work, suppliers must be registered companies in their home countries. He said: "They will register on the platform and open an account and this will be vetted by the governmental focal points mainly in the ministry that coordinates COMESA activities who will approve and activate the account or advise otherwise." "This is to ensure the integrity of the companies allowed to post on the platform. Once the supplier account is activated, he or she can post the products on the platform." The platform will also help small-scale cross-border traders and SMEs to have access to market information and will link producers, sellers and buyers. It comes as the regional bloc noted that measures being implemented by member states such as closing borders to prevent the spread of the Covid-19...

NAIROBI, KENYA: The East African Business Council (EABC) has endorsed sports Cabinet Secretary Amina Mohammed for the World Trade Organization’s (WTO) Director-General position. In a statement, the outfit noted that Amina joining the WTO will be timely as Africa is keenly focusing on the African Free Trade Area (AfCFTA). “She is a strong advocate for the actualization of the AfCFTA and has also chaired the WTO’s 10th Ministerial Conference held in Nairobi in 2015, the Dispute Settlement Body and the WTO’s General Council in 2005, her passion for international trade, exemplary strategic leadership, diplomatic and negotiation skills maker her the right candidate for the job,” said Peter Mathuki, CEO East African Business Council. Her success in the position will be a great opportunity for the EAC bloc and Africa towards championing global economic policy to increase the continent’s share in global trade. “The business community in East Africa is assured that Amb. Mohamed will steer the WTO to greater heights. As a former Cabinet Secretary for Foreign Affairs and International Trade of the Republic of Kenya she is bold and proficient, it will be an honour for the continent to have the first African and first woman as the Director-General of the WTO,” said Dr. Mathuki. Mohamed said on Monday she is seeking Washington’s backing and expressed some sympathy with its criticism of the global body as she emerges as one of two reform-minded African female frontrunners. Delegates say Mohamed, a 58-year-old minister, and former WTO chair, is one of...

Paradoxically, the health and economic crisis have shown that the restoration of local production will be achieved through greater trade and economic integration. The post-pandemic period promises to be a moment of opportunity for Africa, that of securing supply by bringing production back to the continent. Yet the risks of supply disruption are not as much linked to a lack of factories in Africa as they are to the concentration of trade. Africa imports 75% of its drugs from Europe, India, and China. First and foremost, securing supply requires greater diversification of suppliers, backed up by trade agreements. Can this be done in a way that benefits African countries? Intra-community trade within EAC Intra-continental trade circuits are more fragile than international circuits. Despite the pandemic, cargo aircraft continue to land in Nairobi, container ships dock in Djibouti and oil tankers leave Port Sudan. Traffic in the Kenyan port of Mombasa is only expected to decrease 2.1% in the first quarter of 2020 as compared to 2019. The problem lies elsewhere. Quality of infrastructure Intra-Community trade within the East African Community (EAC) represents only 20% of its total trade (as opposed to 70% in Europe). Several factors are to blame for this, including the poor quality of infrastructure, complex administrative procedures, low competition in the carrier industry, and a lack of interconnectivity between the various modes of transport. For example, clearing a container takes eight days in Mombasa, less than two days in Mauritius and barely ten minutes in Europe. These differences are even more pronounced...

In Summary The app will follow the trajectory of the truck and detect any smuggling or short-landing. The app is expected to be launched within two weeks. Truck drivers have welcomed a decision by the government to introduce an application through which they can access coronavirus test results. EU ambassador to Kenya Simon Mordue said Friday they are partnering the government to release the app in two weeks. The cargo transporters said on Sunday the app will limit the frequency of travel to Covid-19 test centres to pick their results. They also said the development will hasten the delivery of test results to individual drivers thus reducing the time they spend queuing on the roads. Mark Kibet who plies the Mombasa-Tororo route transporting clinker to the Tororo Cement Industry in eastern Uganda said he was ready to download and use the app. “That is a good decision because that app will help us when our samples have been taken. We will only be returning to our vehicles and wait for the results to come out through our phones,” he said in Amagoro. Results take two to three days and when they are released, drivers have had to travel again to Malaba to pick them, he said. Truck drivers are screened for the coronavirus after every 14 days and it has been cumbersome for them to travel to test centres to collect result certificates. Abdallah Boru who plies the Mombasa-Kampala and Mombasa-Juba routes said developers of the app deserve commendation. It...

Summary In its latest African Economic Outlook 2020 Supplement report, the African Development Bank (AfDB) says that despite countries embarking on a cautious reopening of economies to stem further damage, the impact of the pandemic is bound to be severe. Losses are expected to be carried over to 2021 because the projected recovery will only be partial with losses ranging from $27.6 billion (baseline) up to $47 billion (worst case) from the potential GDP of $2.76 trillion without the pandemic. Cumulatively, the pandemic could lead to GDP losses in 2020–21 of between $173.1 billion and $236.7 billion in current value terms. At mid-year, African economies, already battered by the Covid-19 pandemic are now facing a total GDP loss of at least $145.5 billion. With many countries recording an unprecedented surge in the number of infections, and the continent’s total cases surpassing the half million mark as per World Health Organisation data, Africa is forecast to suffer GDP losses of between $145.5 billion and $189.7 billion from the pre-Covid-19 estimated GDP of $2.59 trillion. In its latest African Economic Outlook 2020 Supplement report, the African Development Bank (AfDB) says that despite countries embarking on a cautious reopening of economies to stem further damage, the impact of the pandemic is bound to be severe. Losses are expected to be carried over to 2021 because the projected recovery will only be partial with losses ranging from $27.6 billion (baseline) up to $47 billion (worst case) from the potential GDP of $2.76 trillion without the...

​​​​​​​IN a move to tackle foreign domination of shipping business in Africa, the African Union (AU) has adopted the Deep Blue Economy strategy by taking initiatives to promote maritime transport, port activities, maritime security, as well as interstate exchanges. In a report “Africa Blue Economy Strategy”, the AU noted that foreigners intentionally destroyed the budding African shipping lines and conferences to ensure that only Europeans offer such services and at their own prices. Besides, the AU is also expecting port activity in Africa to reach two billion tonnes by 2040. West Africa is home to port facilities in the process of continuous modernisation since the end of the colonial era. East Africa has expanded its ports, including Djibouti, which is responsible for exports to Saudi Arabia, Egypt and India. The port of Dar-Es-Salaam in Tanzania carries many imports from India and China. To this end the group also concluded plans to reduce, if not eliminate foreign domination of shipping businesses in the continent as it commenced research and studies in fisheries, aquaculture, conservation and sustainable aquatic ecosystems, shipping/transportation, trade, ports, maritime security, safety and enforcement, coastal and maritime tourism, climate change, resilience, environment, infrastructure, sustainable energy and mineral resources and innovative industries, polices, institutional and governance, employment, job creation and poverty eradication as well as innovative financing. According to the report, the AU noted that in its current configuration, maritime trade remains dominated by arms conglomerates which unilaterally set freight rates and thus organise the shipping market as they see...

In Summary Businesses operating in tourism sector have welcomed re-opening of airports and resumption of international flights from August 1. Andrew Gatera runs a tour and travel company that largely targets tourists from China and Europe. He says since the Covid19 outbreak his company has lost up Rwf50 million. Businesses operating in tourism sector have welcomed re-opening of airports and resumption of international flights from August 1. Andrew Gatera runs a tour and travel company that largely targets tourists from China and Europe. He says since the Covid19 outbreak his company has lost up Rwf50 million. “Re-opening of airport for commercial flights is a positive development, but we still don’t expect a lot this year because we can’t be sure that clients will re-plan their trips and come,” he noted. “If this could lead to reinstatement of some of the cancelled bookings maybe the year would be saved, but this is not happening,” Mr Gatera added. He said tourism cycle needs at least five months of booking in advance, noting that so far no bookings have been done since the re-opening of the airport was announced. Mr Gatera noted that while Rwanda has been listed as one of the safest countries to travel to during this period, opportunities may only be available next year. "A few tourists who have been holed up in their houses for months are likely to visit at the end of the year, but these will be negligible to generate any significant returns," he said. Ministry...

Today the House of Lords’ International Relations and Defence Committee has issued its first report of the current parliament, The UK and Sub-Saharan Africa: prosperity, peace and development co-operation. The report rightly argues that the UK should take a greater strategic interest in and seek a stronger partnership with Africa to support the delivery of the African Union’s (AU) strategy. In fact, ODI’s written and oral evidence to the Committee argued that the government should consider building on the recent UK-Africa Investment Summit to lay the foundations for a new medium-term post-Brexit economic partnership, to diversify UK investment in Africa and increase trade by taking advantage of Africa’s integration. Together with the All-Party Parliamentary Group (APPG) on Trade out of Poverty, we also suggested a UK-Africa Prosperity Commission is set up to inform these efforts as equal partners. The government must now take note of the House of Lords report, reset economic relations and publish an ambitious Africa strategy. The strategic approach to Africa falls short The Committee’s diagnosis on the state of UK-Africa economic relations is stark. It warns of a flatlining of the relationship between the UK and African countries between 2008-2018 in terms of trade and investment, at a time of growth in the continent and increased integration through the African Continental Free Trade Area (AfCFTA). Reflecting insights from the APPG on Africa and ODI, it also presents the UK’s visa policy as a thorn damaging the relationship, but notes the good track record of UK aid for trade programmes such as TradeMark Africa and aid to support industrialisation in Ethiopia. It...

Trade delegates from Rwanda have recently unveiled the country’s post-Covid economic recovery and investment plan in a forum with Commonwealth Enterprise and Investment Council (CWEIC). HE Yamina Karitanyi, High Commissioner in the UK, was joined by Hon Soraya Hakuziyaremye, Minister of Trade, and the Hon Clare Akamanzi, CEO of Rwanda Development Board to discuss Rwanda’s economic successes to date, future investment opportunities and the Rwandan government’s Vision for 2020 and 2050. Prior to the pandemic, Rwanda had experienced a period of rapid economic growth from investment and industrialisation. Indeed, the country had enjoyed an average rate of 7-8% GDP growth in recent years, reaching a record high of 9.4% in 2019. Much like the rest of the world, however, Rwanda’s economy has not been immune to the debilitating effects of the pandemic. As businesses were forced to shut their doors in the nationwide lockdown, income generation ceased for the work force and consumer spending ground to a crippling halt. Hon Soraya Hakuziyaremye, Minister of Trade did not shy away from the financial reality, and told the council that they could expect Rwanda’s economy to retract anywhere between 35-105 billion dollars due to COVID-19. In response to the crisis, the government has launched a financial relief program to provide grants and food supplies for households and mitigate the impact of lockdown on private businesses. This new Economic Recovery Fund (ERF) totals over Rwf 100 billion, raised both from the Rwandan government and with aid from international funding partners. Tourism and hospitality...