EAC set to table financing options
What you need to know:
- An official told The Citizen yesterday that alternative financing mechanisms will be key on the agenda of the high level talks slated for next Friday. “There will be different options such as raising the money to fund the EAC activities through tax revenues,” he said on phone.
Arusha. With the cash woes still haunting the East African Community (EAC), new financing options will be presented before Heads of State during their summit in Kampala next week.
An official told The Citizen yesterday that alternative financing mechanisms will be key on the agenda of the high level talks slated for next Friday. “There will be different options such as raising the money to fund the EAC activities through tax revenues,” he said on phone.
He added one of the options already discussed at the technical level of the partner states was that some countries should contribute more than others.
“Here, we will be talking of equity,” he said,noting, however, that the option can pose some difficulties as it will give some countries more powers than others in key decisions. Until last year, Tanzania, Uganda and Kenya preferred equal contribution arrangement while Burundi and Rwanda wanted differentiated contributions.
Another option is to slap a 0.7 per cent levy on the value of dutiable imports from outside the bloc.
