Better roads promote trade and movement of people and goods, a reason why Africa must invest move in such facilities. (File photo) Africa has been touted as the new destination for investors. However, the continent still faces a myriad of challenges that hold back its potential, especially efforts aimed at improving business environment and alleviating poverty to ensure sustainable economic growth. That’s why Africa needs leaders who can tackle these challenges and translate them into opportunities to achieve the ‘Africa we want’ as per the theme of the recently-concluded 27th African Union summit in Kigali. Supportive policies and infrastructure that promote entrepreneurship and trade on the continent will play a critical role in helping the continent rise from the ‘ashes’ to achieve the African renaissance dreams proclaimed by the likes of former South African President Thabo Mbeki, experts say. According to Teddy Kaberuka, an economic analyst in Kigali, infrastructures, including transport, power and information and communication technologies (ICTs) facilities, are instrumental in supporting growth in the global economy. That’s the reason why African countries must prioritise infrastructure development to ensure sustainable economic growth on the continent. “The only way Africa can increase its production and strengthen its economy is by investing heavily in infrastructure development to support the production and ease access to markets and encourage intra-regional trade. Therefore, government must invest more in the energy, ICT and transport sectors because these are enablers of trade and development,” he said. “Without enough power, the continent’s production capacity will be affected,...

THE Tanzania Ports Authority (TPA) is implementing 163 projects aimed at raising performance in all ports in the country. Basking in the glory of improved performance, TPA Director General, Engineer Deusdedit Kakoko told reporters in Dar es Salaam that the authority paid 80.1bn/- to the government in 2015/16: 40bn/- in form of corporate tax; VAT 37.4bn/- and withholding tax 2.7bn/-. “Dividend to the government this year was 93bn/- against our collected revenue amounting to 662bn/-,” he noted. He said performance up-lifting projects in Dar es Salaam port alone will cost 690m US dollars. The International Bank for Reconstruction and Development (IBRD) will offer a 600-million dollar softloan; the UK’s Department for International Development (DFID) and Trade Mark East Africa will jointly offer 30-million US dollars grant and the Government will contribute 60 million US dollars. Eng. Kakoko said the money will be spent on ten schemes, which include increasing berth depth to 14 metres -- covering berths number 1 to 11; increasing scanners from three to five; building a new berth at Gerezani Creek and two more at number 13 and 14 locations, deepening to 14 metres the port’s gateway, installation of a conveyor system and silos, modernisation of the railway network within the port, expansion of Bandari-Mivinjeni Road and completion of a onestop centre building along Sokoine Drive. Tanga will get an oil jetty and storage tanks, he said, adding that designs and feasibility study for the proposed Mwambani Port will be launched in the near future. Mtwara Port...

By Pius Rugonzibwa Mwanza — More than 300 local and foreign exhibitors will take part in this year's Mwanza East African Trade Fair (MEATF 2016) set to begin on August 26. This will be an increase of nearly 100 exhibitors up from roughly 200 of them that took part in such trade fair last year indicating a remarkable growth of the regional event. Announcing this year's activity, the Mwanza Regional Tanzania Chamber of Commerce, Industry and Agriculture (TCCIA) Vice-Chairman, Mr Leopard Lema, said that the objectives of the trade fair have changed much, the main one being to provide an opportunity for companies to enhance their brands and corporate images. He reported that other targets for this year seek to enable participants to get an opportunity to develop and cultivate customer relations, search for partners and act as market research instrument. "But more importantly, this year's event brings another opportunity for the businesses to tap the potential found in Mwanza Region and the entire Lake Zone regions as the best available market and investment area with its excellent strategic location in East Africa," he explained. While local companies are expected to increase in number this year, they are also expected to learn new business strategies as well enhancing export trade to capture available privileges and readily- arranged markets worldwide. Mr Lema mentioned the theme for this year; "To increase intra East Africa Trade and Investment" as being part of the support for a regional agenda practical participation in the EAC...

By Peterson Tumwebaze The East African Community (EAC) needs a strong and uniform regulatory framework that promote financial inclusion to ensure sustainable growth in the region, experts say. Prof Lemma Senbet, from the African Economic Research Consortium (AERC), said EAC should put in place clear systems that promotes financial inclusion to spur growth. He added that a regionally integrated financial system that also feeds into a global system will help strengthen the financial industry on the continent. He also noted that a strong linkage between the financial industry and other sectors of the economy is crucial for Africa. "It is important to have a globally competitive financial system and regulatory framework to ensure best practices," he added. He was speaking during a China-Africa Media Think Tank symposium in Mombasa, Kenya recently. Prof Humphrey Moshi, the Centre of Communication Skills at the University of Dar es Salaam, Tanzania, said there is need to create linkage between financial sector development and poverty alleviation, as well as employment creation. He said it is essential to develop the capacity of the financial sector to exploit its potential and contribute to the region's growth. "There is need to strengthen capacity of financial systems to perform multiple functions and not mere existence of the systems," he added. "Sub-Saharan African countries, including the EAC bloc, have undertaken a lot of economic and financial sector reforms over the last two decades, yet many still face a severe financial development gap compared to advanced and other developing economies," Prof...

Kenya's exports will be stung by EU import duties of up to 25 percent if talks are not concluded by 1 October. (Photo:Ninara) One of the main economic arguments used by Leave campaigners before the UK's referendum on EU membership in June was that the UK, freed from its EU shackles, would be able to cut its own bilateral trade deals entirely on its own terms, and much quicker than as part of the EU bloc. The UK will remain party to all EU trade agreements until it formally leaves the bloc, and cannot conduct any separate negotiations of its own. It hasn’t had to negotiate a trade deal for more than 40 years, which probably explained the Leavers’ optimism about how easy it would be. Trade negotiators are among the most world-weary of government officials. Not surprising really, when you spend years negotiating milk and cheese subsidies only to see a deal collapse when the politicians get involved. Two months after the referendum and the UK’s newly created international trade ministry is not launching any trade talks. Instead, it's embroiled in a turf war with the Foreign Office over who gets to handle economic diplomacy. Its officials don’t have their own building yet. But the UK is not the only one in limbo. October deadline A fortnight after the referendum, Tanzania and Uganda abandoned plans to sign a regional trade agreement between the East African Community (EAC) and the EU citing the political turmoil caused by the Brexit vote....

THE East African Community is reported to be in deep financial crisis as the Regional Parliament is resuming its session here this week to address the situation. The East African Legislative Assembly is embarking for its First Meeting of the Fifth Session of the Third Assembly which runs at the EALA chambers for twelve days, from this Monday, August 22, 2016 to next week’s Friday, September 2, 2016. EALA Spokesperson, Mr Bobi Odiko said here that the Assembly is to be presided over by the Speaker, Mr Daniel Kidega, with the top on the agenda during the two-week period being the debate on the Report of the Committee on Accounts on the EAC Audited Accounts for the Financial Year ended 30, June 2015. The report which examines and considers the EAC Audited accounts for the year ended 30, June 2015, arises from the audit of the EAC Organs and Institutions including 20 projects and Programmes and this in accordance with Article 134 of the Treaty for the Establishment of East African Community. “Upon completion of the audit, the EAC Council of Ministers tabled the Report of the Audit Commission to the House on 24, May 2016. The Audit Commission’s report which indicates that the overall budget performance stood at 65 per cent is set for debate at a time when the Community is facing a precarious funding situation,” said the EALA statement. The House is further expected to consider a Report of the Committee on Agriculture, Tourism and Natural Resources...

NAIROBI, Aug. 22 (Xinhua) -- Japan is expected to use the sixth Tokyo International Conference of Africa's Development slated for Nairobi, Kenya this week to boost trade relations between the nation and the continent at a time when it is trailing behind its Asian peers. According to data released Monday by the Kenya National Bureau of Statistics (KNBS), while Japan's monthly exports to Kenya average 67.4 million U.S. dollars, India ships into the East African nation goods worth 193 million dollars and China's exports stand at 233 million dollars. In the January-May period, according to the KNBS data, Japan's exports to Kenya stood at 339 million dollars. During the same period, India was recorded at 965 million dollars while China at 1.2 billion dollars, according to the government agency. Japan's top exports to Kenya consist of iron and steel products and motor vehicles. "This conference will bring both immediate and long-term benefits to both Kenya and Japan. We expect to strengthen existing bilateral relations with Japan," said Devolution Cabinet Secretary Mwangi Kiunjuri. The East African nation is also expected to push for direct flights between Tokyo and Nairobi to boost its exports to the Asian nation. Source: Xinhuanet

IN SUMMARY A new report by Uganda’s Ministry of East African Affairs blames this on lack of resources, which saw the bloc postpone the establishment of East African Monetary Institute (EAMI)—a precondition for having a single currency by 2024 — from 2015 to a yet to be announced date. The East African Community’s dream of a monetary union and a single currency may not be realised by the 2024 deadline. A new report by Uganda’s Ministry of East African Affairs blames this on lack of resources, which saw the bloc postpone the establishment of East African Monetary Institute (EAMI)—a precondition for having a single currency by 2024 — from 2015 to a yet to be announced date. Now, without the money for the EAMI, which will evolve into the East African Central Bank, the region is taking the longer route — that of the East African Legislative Assembly. According to the East African Monetary Union roadmap, the EAMI was to be established by partner states — and not EALA. Draft Bills EAC spokesperson Richard Othieno Owora said the bloc is trying to establish EAMI through an EALA Act even though this will delay other institutions needed for EAMU to begin working. These include the East African Statistics Bureau, the East African Surveillance, Compliance and Enforcement Commission, and the East African Financial Services Commission. “So far, the draft Bills for the establishment of the EAMI, the EASB, and EASCEC have been developed and negotiated by partner states,” Mr Owora said. He...

By Nestory Ngwega THE government is in plans to widen the scope of companies importing oil in the country in order to create business competitiveness environment that will necessitate reducing the price of oil. The statement was made here yesterday by the Minister for Energy and Minerals, Prof Sospeter Muhongo when he visited GBP Oil Company in Tanga city. He said currently the price of oil in Tanzania is still higher in comparison with the price of the same commodity in other neighboring countries despite the fact that they all buy oil from the same world market at the same price. He said following the research conducted by an expert from the ministry aimed at finding out why the price of oil in the country is higher, they came up with the resolution that the government has been working on it. According to Prof Muhongo, the finding established that oil price in Tanzania is higher because of the few number of companies which import the commodity, something which reduces the competition in terms of price setting. "You know in Tanzania we have few oil importing companies... they are four companies only...and if the companies are few, it is easy to collude and set the same price...but if we add more companies to compete, even the price will go down and this is what we have learned from our neighbors," he said. He further said following such study, the government is now planning to give oil importing licenses to many companies...

In an ambition to nourish an effective nationwide integration within the East-African bloc, the East-African Community - Youth Ambassadors Platform-Burundi Chapter, collaboratively with the Ministry at the Office of the President in Charge of East African Community Affairs, organizes a national debate on EAC integration under the theme: "YOUTH EMBRACING THE EAC INTEGRATION". The East African Community (EAC) is the regional intergovernmental organization of the Republics of Burundi, Kenya, Uganda, Rwanda, the United Republic of Tanzania and South Soudan, with its Headquarters in Arusha, Tanzania. South Soudan joined the community early in 2016 following Burundi and Rwanda which joined EAC on 1st July 2007. The youth of East Africa are important stakeholders in the EAC processes and form substantial part of the population. Article 120 (c) of the EAC Treaty provides for adoption of a common approach for involvement of the youth in the integration process through education, training and mainstreaming youth issues into EAC policies, programs and projects as one of the strategic interventions towards the realization of a fully integrated Community. The debate is to take place at National Institute of Public Health, commonly known as INSP, respectively on august, 20th 2016 and august, 27th with a final debate to be held on September, 10th. The debate will engage young people from partaking universities (University of Burundi, Ecole Normale Supérieure, INSP, Université Lumière, Université des Grands Lacs and ISMR) in a battle of opinions with the focus on enhancing the "East-Africanity" awareness among the youth for a functional...