EA business sector irked by slow pace of integration

Arusha.The East African Business Council (EABC) has expressed its dismay over the slow pace of economic integration in the region.

It faulted senior government officials of the partner states in the Community for sitting on directives given by the Heads of State on fast-tracking of the regional projects.

"Some of the directives of the East African Community Heads of State are not implemented on time", said the Jim Kabeho, the acting chairman of the Council during consultations with the EAC secretary general Liberat Mfumukeko.

He said it was unfortunate that some responsible officials in the governments of the partner states preached regional integration but failed to do anything tangible to speed up joint programmes.

Mr Kabeho, who is the director of the Uganda-based Madhvani Group Limited, cited failure by members of the bloc to address the high cost of air travel and telecommunications in the region.

"The cost of telecommunications in the region needs to be brought lower to facilitate business across the region", he said during the brief consultations at the EAC headquarters.

He specifically urged Tanzania and Burundi to expeditiously remove the roaming charges and join "One Area Network on mobile data and calling charges.

Four other partner states; Uganda, Kenya, Rwanda and South Sudan joined the network more than two years ago, and telephone callers across borders are not subjected to higher charges.

The EABC also urged for the finalization of the EAC Air Transport Regulations to give way to the domestication of the EAC air space, thereby reducing the cost of doing business in the region.

A delegation of Board members to the Council also raised the unresolved issue of non-tariff barriers (NTBs) and harmonization of domestic taxes during their meeting with Ambassador Mfumukeko.

"We urge the EAC partner states to expediously implement the directives of our leaders particularly the removal of NTBs and harmonization of the domestic taxes in the region", they emphasized.

They also called for stronger focus on industrialization on specific sectors as per the EAC Industrialization Strategy. These include the iron ore and mineral processing, fertilizers and agro-chemicals, pharmaceuticals, petro-chemicals, energy and others.

On his part, Mr Mfumukeko briefed the EAC board members on the on-going push for full implementation of the Single Customs Territory and the fifth EAC Development Strategy.

Private sector, the EAC boss pointed out, should spearhead the integration process "by bringing the Community together through trade"

He further called for increased collaboration with the EABC, an apex body of private sector assocations in the bloc, in marketing the region as one investment destination.