EAC CAUTIONS PARTENER STATES AFTER TANZANIA IMPOSES TRADE RESTRICTIONS

The East African Community (EAC) has expressed concern over unilateral actions by certain partner states, warning that such moves undermine the rights and freedoms enshrined in the EAC Common Market Protocol. In a statement released Thursday July 31, 2025, EAC Secretary General Veronica Nduva reminded member states of their binding obligations under the protocol, which aims to deepen regional integration by eliminating trade and investment barriers and facilitating the free movement of people and businesses.

Nduva emphasized that partner states must honour the sectors and services they have already agreed to liberalize, as outlined in Annexe V of the Common Market Schedule, and refrain from reversing or restricting those commitments. “The Protocol clearly states that partner states should not roll back on sectors they have already liberalized,” she said. Nduva noted that some countries had recently introduced unilateral measures that contradict their obligations under the protocol, warning that such actions breach both the spirit and the legal framework of the agreement.

She further revealed that the EAC Secretariat is currently reviewing each partner state’s compliance and plans to highlight any violations during the upcoming meeting of the Sectoral Council on Trade, Industry, Finance, and Investment. “All partner states must uphold their commitments to preserve the integrity of our regional single market,” Nduva stressed.

The EAC’s statement follows a formal protest by Kenya in response to a recent directive from Tanzania that restricts foreign nationals from engaging in 15 business sectors. Kenya’s Principal Secretary for EAC Affairs, Caroline Karugu, confirmed that the country had petitioned the EAC Secretariat to intervene and urge Tanzania to revise or revoke the directive.

Tanzania’s Trade and Industry Minister, Selemani Saidi Jafo, issued the directive, which imposes severe penalties on non-citizens—including fines starting at TSh10 million, permit revocations, and jail terms of up to six months. Karugu argued that the directive violates several provisions of the Common Market Protocol—specifically Articles 13(1), 13(3)(a), 13(5), 13(8), and 13(9)—which guarantee the rights to establishment, movement, and cross-border service provision.“This order contradicts the fundamental goals of regional economic integration and threatens the progress achieved under the EAC Common Market Protocol,” she said. Kenya’s Trade Cabinet Secretary, Lee Kinyanjui, added that while Kenya is committed to a diplomatic resolution, it may explore reciprocal measures if the matter remains unresolved.

Nduva concluded by reaffirming the EAC’s commitment to advancing seamless regional integration and urged all partner states to respect the principles of the EAC Treaty and the Common Market Protocol.