In the current global world, countries future and fate is intermingled. Positive developments in one country spill over to other parts. Similarly, negative phenomena that occurs by natural event or by human activity in a given country, could have repercussion on other parts of the world. Today global warming and climate change, poverty eradication and trade relation has brought countries together for good outcome. On the other hand, terrorism, extremism and security threats alert countries to spend their meagre resources for the well-being of their citizens, that can be allocated for development. However, we can safely argue that for most developing countries, eradication of ignorance, poverty, diseases, expansion of infrastructure, health and social service, enhancing food production and fighting hanger are common priority areas. In order to achieve development, first, countries should sort out what kind of resources they have at hand, how they could tap natural resources and mobilize domestic and international finance and technology. They as well could ultimately identify the type of energy their development scheme could be supported with. Here energy is both a means and an end for their development. Because, all economic sectors such as agriculture, industry and service essentially need energy. Without utilizing it, growth is unthinkable. On the other hand, energy makes a country economic powerful. By supplying energy, besides gaining hard currency, some countries, could be politically influential. Over the past decade, energy was proved to be a source of conflict at the international level. In contrary, countries suffering from energy...

Kenya, Rwanda and Uganda have struck a deal to jointly clear cargo at the Kilindini port and monitor consignments on transit on a single electronic platform. Kenya Revenue Authority (KRA) commissioner-general John Njiraini said the regional cargo tracking system would enable the three countries to seamlessly monitor cargo from Mombasa to Kigali and eventually Juba, curbing revenue leaks. “This approach will remove the opportunities presently exploited by crooks at the changeover of seals at border points by requiring affixation of only one seal to be disarmed on arrival at destination,” he said. Mr Njiraini said the countries at meeting in Mombasa on January 16 agreed to establish joint enforcement teams to police transit cargo operations, besides other actions including the centralisation of transit cargo clearance at Kilindini port. The tracking system comprises satellites, a central monitoring centre and special electronic seals fitted on cargo containers and trucks, which give the precise location of goods in real time. The system triggers an alarm whenever there is diversion from the designated route, an unusually long stopover or when someone attempts to open a container. Besides curbing theft of cargo, the system also helps to seal loopholes that cause the country losses in revenue through suspected under-declaration of the value of exports or theft of cargo. “The new system’s key strength is that unlike presently, the three Northern Corridor countries, shall use one system and one platform, with seamless visibility from Mombasa to Kigali and eventually Juba,” Mr Njiraini said. The KRA in...

Nairobi 21st January, 2016…East Africa private sector body, East Africa Tourism Platform (EATP) has emerged First runner up of the UNWTO Award for Innovation in Public Policy and Governance for its multi-destination knowledge management tool at the 12th UNWTO Awards EATP was among a total of 17 projects from Africa, Latin America, Asia and Europe that were selected from a total of 109 candidacies, as finalist of the 12th UNWTO Awards on Excellence and Innovation in Tourism. Winners in the four categories of Public Policy and governance, Research and Technology Enterprises and Non-Governmental Organizations (NGOs) were announced Wednesday night at the UNWTO Awards Ceremony and gala dinner at Fitur in Madrid, Spain. [caption id="attachment_11574" align="alignleft" width="600"] The East Africa Tourism Platform Executive Director Ms. Carmen Nibigira during the award UNWTO Awards Ceremony and gala dinner at Fitur in Madrid, Spain on 20th January 2016[/caption] The Award recognizes initiatives that are highly innovative and managed by a public or public-private institution that reflects tangible and sustainable improvements in policy, processes, and governance. Speaking after receiving the award on behalf of the 5 countries, EATP Regional Co-ordinator Ms Carmen Nibigira says the Multi-destination Knowledge management tool developed by EATP was nominated and awarded for its works towards an inclusive model of tourism governance which involves diverse tourism stakeholders. “Through this tool, regional tourism stakeholders have started trading each other’s products, packaging tourism products without borders, bench-marking amongst themselves and learning from each other. We are one people, but with a rich cultural...

Rwanda's campaign to diversify its exports to cushion the economy against a growing trade imbalance, may take a little longer, with agricultural exports falling by 29 per cent due to depressed international commodity prices. In the first 11 months of last year, exports fell to $65.2 million from $91.7 million during the same period in 2014, according to the National Agricultural Export Board (Naeb). The trade imbalance was widened as seven out of the 13 leading agricultural exports — pyrethrum, hides and skins, cereals, pulses, root tubers (cassava), live animals and banana — dipped. Tea exports recorded positive growth, expanding 40.16 per cent while horticultural exports grew by 41.33 per cent. But the two agricultural exports did little to narrow the trade gap, which stood at $96.14 million’s worth of exports compared with $481.10 million of imports. The trade deficit was worsened by the growing demand for agricultural products boosted by World Food Programme sourcing cereals locally to feed hundreds of Burundians and Democratic Republic in refugees’ camps in Rwanda. NAEB figures show that for the months of August and September (2015) there was no formal export of maize and wheat flour, and from July to September no formal export of maize and sorghum. Export receipts from skins and hides also dipped largely due to the growing local demand from Chinese investors. One of the investor — Kigali Leather Ltd — has a capacity to process 60 containers of skins and hides. Despite the growing local market, analysts insist that...

Countries qualifying for duty-free access to US markets under the Africa Growth and Opportunity Act (Agoa) must adhere to US trade regulations as well as its foreign policy. This is a new rule enacted by the US Congress last year after the renewal of the US–Africa trade partnership for another 10 years. According to EAC Director General of Customs and Trade Peter Kiguta, under the new rule, a country that goes against any of these requirements is suspended from Agoa for a period to be determined by the US government. “The eligibility criteria will worsen with time because US trade representatives are expected to report on the eligibility of individual country every year and if found ineligible, a country’s goods will not have access to the US market,” said Mr Kiguta. Last week, the US and South Africa reached an agreement on importation of American pork shoulder cuts and beef. In November, the two had reached yet another agreement on poultry products. South Africa is the second country to face suspension after Burundi under the new rule. Last year October, President Barack Obama announced that Burundi would be ejected from Agoa in January for its “continuing crackdown on opposition members, which has included assassinations, extra-judicial killings, arbitrary arrests, and torture.” African countries’ agricultural produce enjoy a zero-tariff rate for about 6,800 product line through Agoa without any reciprocity required for US goods. “For African countries to expand their trade partnership with the US market, we need to negotiate a preferential trade agreement...

THE Federal Republic of Germany has signed an inter-governmental agreement with the East African Community (EAC) to support the economic integration, regional health facilities and water resource management. Germany signed a total of 37 million euros in grants to the EAC for 2016-2018, highlighting the strong commitment to support the integration process in East Africa. The EAC Communications Officer, Mr Richard Owora Othieno, revealed here that 10 million euro in financial assistance will be invested in the establishment of a regional network of reference laboratories for communicable diseases. With this project, the German government responds to a request for support from the EAC for the prevention and control of epidemic outbreaks in the region. Another 10 million euros in financial assistance will be used for Integrated Water Resource Management of Lake Victoria aiming at improving water provision and management of water resources. Both projects will be implemented by KfW development bank. On the other hand, the 17 million euros in technical assistance will be made available to further support of the economic integration process, including a contribution to the EAC partnership fund. The programme is focusing on institutional strengthening of the EAC Secretariat and on supporting the implementation of the Customs Union, Common Market Protocols and Monetary Union. This includes the elimination of Non- Tariff Barriers such as tax harmonisation as well as Mutual Recognition Agreements for qualifications. At the same time Germany will support the EAC in promoting private investment especially in the pharmaceutical sector, including the establishment of...

Kampala. Solid performance in economic sectors such as wholesale and retail trade, Information and Communication Technology and increased manufacturing activities has contributed towards the Shs47b surplus the tax body has registered. Uganda Revenue Authority (URA) data also indicates that financial and insurance activities, and construction were also among sectors that generated much of the revenue collected between July and December of financial year 2015/16.
Releasing the half year revenue performance report on Wednesday, URA Commissioner General Doris Akol said of the 21 sectors, the top three performing ones (wholesale and retail, manufacturing and ICT) contributed more than 65 per cent of the total net collections. She, however, said apart from the manufacturing and construction sector, there has been a general decrease in the revenue share of the top five sectors in the last six months compared to the same period last financial year. 
The top five sectors according to URA include; wholesale and retail trade (including repair of motor vehicles and motorcycles), manufacturing, Information and Communication Technology, financial and insurance activities and construction. Speaking about the half year revenue collection, Ms Akol said revenue performance of Shs5.5 trillion registered in the half year shows that URA’s net revenue collections performed above target, posting a revenue growth of 20 per cent.
And for that she is optimistic that in the next six months when the financial year closes, all will end well despite anxiety relating to the general election next month. URA is expected to collect Shs11.6 trillion this financial year.
he said: “URA...

World Trade Organisation Director-General Roberto Azevedo has described last December's ministerial conference in Nairobi as a memorable gathering where significant results were achieved. Mr Azevedo said the meeting delivered some of the biggest reforms in global trade policy ever realised in the past 20 years by the 162-member organisation. Speaking at the University of the West Indies in Jamaica, the WTO boss urged governments to capitalise on the progress in future negotiations that will enable governments and businesses to trade more. “The Nairobi package made a decision on export competition that was truly historic. It is the most important reform in international trade rules on agriculture since the creation of the WTO where we eliminated agricultural export subsidies. “This has significantly improved the global trading environment, especially in developing countries who suffered enormous trade-distorting potential from the subsidies. "In fact, this task has been outstanding since export subsidies were banned for industrial goods more than 50 years ago. So this decision corrected an historic imbalance,” he said. He said a level playing field in agricultural markets had been created, with direct benefits to farmers and exporters in developing and least-developed countries. Mr Azevedo said the move would also correct anomalies where export credits and state trading enterprises wrongly benefitted from the subsidies-driven export trade. “The smaller and the poorer the country, the more likely it is to need trade as a means to attract investments and to boost economic and social development. We simply cannot lose sight of this reality,”...

Djibouti has signed a series of trade agreements with China including the setting up banking and free trade zones, according to a statement from the strategic Horn of Africa nation’s president. China last month said it would build a naval base in Djibouti, the latest sign of China’s growing international security presence. The “important economic agreements” include banking deals and a proposed 48 square kilometre (18.5 square mile) free trade zone, with the first section “to be operational before the end of 2016”, President Ismail Omar Guelleh said in the statement released this week after the deal was inked on Monday. Djibouti, which lies at the entrance to the Red Sea and Suez Canal, will operate as a “trans-shipment and redistribution” hub for Beijing’s trade, the statement added. On Wednesday, the United Nations World Food Programme (WFP) opened a “humanitarian logistics base” in Djibouti’s port. Regional WFP chief Valerie Guarnieri said the site will help aid to be transported more “quickly, efficiently and cost-effectively” in a region that includes neighbouring drought-hit Ethiopia, as well as war-torn Yemen, Somalia and South Sudan. WFP last year moved 500,000 tonnes of food through Djibouti and the new base will enable larger amounts. Floods and failed rains caused by the El Nino phenomenon have sparked a dramatic rise in the number of people going hungry in east Africa. WFP said aid for a quarter of all those they support worldwide will be funnelled through the new base. “We are opening this facility at a...

For several years, experts from the three largest trading blocs in Africa — the Southern African Development Community (SADC), the East African Community (EAC) and the Common Market for Eastern and Southern Africa (COMESA) — were locked in intense negotiations over a free trade agreement whose aim is to bring about a unified and liberalized single market. The talks finally bore fruit on 10 June 2015 when 26 African countries signed the Tripartite Free Trade Area (TFTA) agreement in Cairo, Egypt. Under this agreement, all the 26 countries, with a combined gross domestic product (GDP) of about $1.3 trillion and a population of 565 million, will merge into a common market and eliminate tariff lines and trade barriers. The participating countries will benefit from liberalized intra-regional trade, which is expected to boost the flow of goods and services. When implemented, the free trade area will constitute about half of Africa’s GDP, half of its population and will cover a combined landmass of 17 million square kilometres, about the size of Russia. At the moment, however, only three of Africa’s eight regional economic communities are participating in the TFTA. Non-participating economic blocs include the Arab Maghreb Union, the Economic Community of West African States, the Intergovernmental Authority on Development, the Economic Community of Central African States and the Community of Sahel-Saharan States. For now, these blocs are not participating in this new initiative for political and economic reasons. The Abuja Treaty of 1995 signed by 51 African countries mandates all regional...