A total of 286 construction projects were launched in Africa in the first half of this year worth a combined total of $324 billion, according to a new report. The Deloitte African Construction Trends report said each of the projects on which ground was broken up to 1 June was valued at $50m or more. However, the report said the number of projects qualifying for inclusion “fell by 5% year-on-year, while the value of included projects decreased by 14%, due in large part to the headwinds that countries are experiencing on account of a weak global macroeconomic environment and low commodity prices across the board”. In a preface to the report, Deloitte Africa infrastructure and capital projects leader Jean-Pierre Labuschagne said: “Africa has seen a downturn in both the number and value of projects included this year, in contrast to previous years... many governments and the low number of projects highlighted that the private sector is struggling to maintain their spending on infrastructure and capital projects.” “New pressure or factors such as drought, security concerns and rapid urbanisation coupled with falling government revenues is making it difficult to maintain the spending in infrastructure required by many countries,” Labuschagne said. To qualify for inclusion in its 2016 report, Deloitte said infrastructure construction projects had to be valued at over $50m and must have broken ground, but not yet been commissioned, as of 1 June. In regional terms, West Africa had the most number of projects (92) this year, which amounted to...

Twenty officers drawn from the Customs Division of the Tanzania Revenue Authority (TRA) and the Tanzania Port Authority (TPA) are undergoing a five-day Tanzania- China supported training in a bid to tighten port security. The five-day programme is meant to sharpen their understandings and capacity to handle container scanners currently installed at the Dar es Salaam port. A statement issued by TPA said that the officers taking part in the training in sharpening their knowledge and skills come from Dar es Salaam and Tanga. "I praise the governments of China and Tanzania for embarking on this programme. We expect this training will increase capacity to the custom officers to undertake their duties more efficiently and thus increase revenue collections," TPA Director General Kakoko said. He said the trainees would also be able to verify details contained in the container and relate with the Bill of Lading documents. He said it was vital for the officers to verify government trophies, illegal arms, illicit drugs, and other products prohibited to be shipped through the ports.  He, however, challenged the officers to also take part in the repair of facilities by at least 50 per cent in case of they don't function. The training is being conducted by Nuctech Limited engineers. The company had already installed the scanners at Tanga and Dar es Salaam ports. Project Manager Zhang Sheng said the project was complete and currently they were undertaking training on how to operate the new scanners to allow the facility to be operated...

A lot has been done by the region to foster trade across the East African Community (EAC) bloc. The number of non-tariff barriers (NTBs) has been reduced to just a handful and traders can also now clear merchandise once, at the point of entry. On top of that, there are now very few roadblocks and weighbridges across the bloc. It is efforts like these that have led to a significant reduction in cost of transporting containers from Mombasa to Kigali; from $6,500 in 2011 to about $4,800 currently. This has saved the country about $7 million and boosted trade within the region. However, despite the gains, more needs to be done to further facilitate intra-regional trade and movement of people. According to a new report by the TradeMark Africa, EAC governments must address the remaining NTBs, including technical issues like standards, logistics and police roadblocks, red tape and lack of automation in intra-regional trade processes, to spur trade. The Rwanda Trade Programme Evaluation report, released on Monday, also faults inefficiencies along transport routes, especially at sea ports and border posts for the high transport and freight costs in EAC. These bottlenecks affect intra-EAC trade that is currently at just 17 per cent, a small figure considering the bloc boasts of a 160 million people market. Therefore, to further enhance trade in the region, Rwanda and other EAC countries should make targeted investments and policy reforms to help eliminate the remaining trade barriers. Already, Rwanda has announced it will undertake more...

The United Kingdom is backing the construction of internationally agreed port infrastructure at the Mombasa Port in the far east of Kenya. The port is being improved to meet the fast demand for port clearances by East Africa Community member countries that are landlocked and depend on Kenya’s biggest port for imports and exports business. Mombasa port serves more than 200 million people in EAC including Uganda, Rwanda and Tanzania. UK’s will construct bigger viable roads and expand docking points for ships to increase the efficiency of the port’s carrier activities which is an engine for the regional social-economic bloc. UK through the Trademark East Africa will not leave out the for the Dar-es-Salaam port modernization which is a trade outlet for the whole inner South Central markets and the EAC itself. After the signing of the trade partnership with UK in 2009, international trade on the two main EAC ports has increased both in turn over and pace, the clearing days reducing from 15 days to 4 days today. “ This has led to the reduction of freight and transport costs, increased competitiveness of goods exported by East African countries, and led to job creation,” TMA notes. UK aid now supports TMA with £95m for next 4 years to increase Kenya’s trade by £1.3b and create  700,000 by 2020 new jobs and generate an additional $1.2b in revenues. If the trend goes as planned then Kenya will be home to   British investors and thus delivering value for money for...

Trademark East Africa’s support for the modernization of ports in Mombasa and Dar-es-Salaam, and its one-stop border posts, are transforming trade and driving integration across East Africa. And the UK in Kenya and Tanzania plays an important role in supporting them, through UK aid. The time it takes to move goods from Mombasa to Kampala has been halved to 6 days and a container now moves through the port of Mombasa in less than 4 days – down from 15 days a few years ago. This has led to the reduction of freight and transport costs, increased competitiveness of goods exported by East African countries, and led to job creation. Trademark East Africa (TMA) was founded by the UK in 2009 with the aim of growing prosperity in East Africa through trade. Funded by UK aid and other development partners, TMA’s flagship project in Kenya is the modernization of the Mombasa Port—Kenya’s biggest port which serves more than 200 million people in East Africa. UK aid is increasing its support to TMA (£95m over the next 4 years) to increase Kenya’s trade by £1.3b. This will create hundreds of thousands of new jobs every year (with an aim of 700,000 by 2020), stimulate further growth and generate an additional $1.2b in revenue for Kenya. Increasing trade will boost local economic growth, as well as open up markets for British investors and deliver value for money for UK taxpayers. The UK’s new support will improve trade infrastructure at Mombasa, Kenya’s biggest...

News that the East African Community has been hit by a severe funding crisis is a grim warning that hopes of a regional trading bloc could be farther from reality. The East African Legislative Assembly, the legislative arm of the community, says the financial crunch is so grave that Parliament and other institutions have had to cancel important activities. Staff salaries and payments to suppliers have been delayed. If basic financial needs cannot be met, how is the community ever going to achieve its lofty ideals of constructing a powerful and sustainable economic and political bloc? How is it going to meet the expectations of the region’s 150 million citizens, who are hoping for a seamless system that eases business, education, travel, and social integration across the borders? That the problem is a result of member states’ failure to meet their financial obligations to the community suggests that the countries do not have the commitment to drive the process. Unless members honour their financial obligations, citizens will lose faith in the whole process and the dream of regional integration will remain just that. A mere pipe dream. Source: Daily Nation

Nairobi — East African Legislative Assembly (EALA) Speaker Daniel Kidega on Monday called for unity and reconciliation to resolve the current South Sudan leadership crisis. Kidega told the press at a briefing held at Parliament Buildings on Monday, that they are concerned by the continued 'political confusion' in Africa's youngest state. "We are an Assembly are very concerned about the political confusion in our newest member state -- the Republic of South Sudan -- we appeal to all the concerned parties, particularly the elected government which sits in Khartoum, to make sure peace prevails and provides opportunity to the South Sudanese to be fully integrated into the EAC process." The Regional House Speaker urged the East African Community (EAC) Head of States to intervene and help restore stability adding that a crisis in any of the EAC member countries impacts critically on to the economy of all the member states. "South Sudan is part of the EAC, whatever happens in any part of the EAC, affects the totality of the community." Kidega stated. "You might be aware that when we saw some political challenges in the Republic of Burundi, the EAC swung into action through the Summit and the Plenary." Kidega however tactfully sidestepped the circumstances that led to the Kenyan government withdrawing its troops from the United Nations Peacekeeping Mission in South Sudan (UN-MISS) in response to the sacking of the Kenyan commander of the UNMISS force. "In the words of His Excellency President Uhuru Kenyatta, we are not...

Frank Matsaert, the TradeMark Africa chief executive, speaks during a news conference as RRA commissioner-general Richard Tusabe, looks on, on Monday, in Kigali. / Nadege Imbabazi The ongoing integration efforts across the East African Community (EAC) region largely aim at increasing trade. The efforts have involved operationalising single customs territories, reducing non-tariff barriers, creating one-stop border posts, and encouraging mass production in regional countries to export to countries in the bloc. However, despite these efforts, intra-regional trade across the bloc is at about 17 per cent, according to trade experts who say that there is great potential across the bloc. EAC comprises six countries with a population of more than 160 million. According to Frank Matsaert, the TradeMark Africa Chief Executive, though some indexes put the levels of trade in the region at 20 per cent, 17 per cent is more realistic. Matsaert said that persistent setbacks to regional trade in EAC largely comprise of non-tariff barriers which include, technical issues such as standards, logistics and police road blocks. TradeMark Africa is a non-profit company that supports the growth and trade to ensure gains for EAC residents. “The other barrier to trade is lots of paper work requirements, red tape and lack of automation in the process of intra-regional trade,” he said. Matsaert was speaking at the launch of Rwanda Trade Programme Evaluation Report by TradeMark Africa, in Kigali, on Monday evening. Matsaert noted that despite the progress with developing physical infrastructure across the region, there was still a long way to...

The East African Legislative Assembly Speaker Daniel Kidega, flanked by members of his House, addressing the press in Nairobi/CFM By LABAN WANAMBISI, NAIROBI, Kenya, Nov 21 – East African Legislative Assembly (EALA) Speaker Daniel Kidega on Monday called for unity and reconciliation to resolve the current South Sudan leadership crisis. Kidega told the press at a briefing held at Parliament Buildings on Monday, that they are concerned by the continued ‘political confusion’ in Africa’s youngest state. “We are an Assembly are very concerned about the political confusion in our newest member state — the Republic of South Sudan — we appeal to all the concerned parties, particularly the elected government which sits in Khartoum, to make sure peace prevails and provides opportunity to the South Sudanese to be fully integrated into the EAC process.” The Regional House Speaker urged the East African Community (EAC) Head of States to intervene and help restore stability adding that a crisis in any of the EAC member countries impacts critically on to the economy of all the member states. “South Sudan is part of the EAC, whatever happens in any part of the EAC, affects the totality of the community.” Kidega stated. “You might be aware that when we saw some political challenges in the Republic of Burundi, the EAC swung into action through the Summit and the Plenary.” Kidega however tactfully sidestepped the circumstances that led to the Kenyan government withdrawing its troops from the United Nations Peacekeeping Mission in South Sudan (UN-MISS)...

East African Legislative Assembly (EALA) Speaker Daniel Kidega. PHOTO | FILE  A funding crisis that has crippled operations at the East African Community (EAC) is set to cloud debate at the Nairobi sittings of the trade bloc’s legislative arm beginning Tuesday. The East African Legislative Assembly (EALA) Monday said the financial crunch is so serious that the Assembly, a number of institutions and organs within the EAC have either cancelled or significantly curtailed their activities. Speaking in Nairobi on Monday, EALA Speaker Daniel Kidega said cash remission by member states had fallen way behind budget. “I know generally that there is pressure on our economies, but the point of concern here is that partner states committed to contribute money equally to the integration process. But these commitments are not coming in time and therefore affecting the EAC integration process,” he said. In the current (2016/2017) financial year, Kenya is among countries doing dismally in remittances to the EAC, having paid only 28 per cent of the Sh854.5 million that is due per country annually. Rwanda has remitted only 23.8 percent of the amount due, Tanzania 6.6 per cent while Burundi has remitted nothing. Uganda is doing better that the other partner states, having paid Sh760.3 million or 88.9 percent of the amount due. Flanked by other EALA members at the Press briefing, Dr Kidega noted that the Assembly had to suspend some of its activities in September and October due to lack of funds. Some of the affected activities are...