Delayed contributions hamper East Africa Community activities

Arusha. The East African Community (EAC) has reiterated its concern over delayed contributions from member states. It says the status of contributions towards the EAC main budget as of August 29 was at six per cent only .

“This is seriously affecting implementation of the activities planned for the first quarter of 2018/19 financial year,” said the deputy secretary general (Planning and Infrastructure), Mr Steven Mlote.

Addressing a meeting of the heads of EAC organs and institutions, the deputy SG urged the partner states to remit their contributions for the current financial year in time.

This, he stressed when addressing a meeting of heads of EAC organs and institutions, would enable the regional bodies to effectively “deliver on their mandates”.

The EAC budgeted to spend $99,770,716 during the 2018/19 financial year, down by approximately $ 10 million budgeted for 2017/18. Out of the total budget for the current year, the development partners were to inject $42.9 million and the rest by the six partner states.

The partner states contributions for the 2018/19 budget would be channelled largely through the ministries of EAC Affairs ($50,227,920).

Other contributions were to be made through the ministries responsible for Education ($4,466,210) and ministries responsible for Fisheries ($ 1,551,032).

According to the budget estimates tabled before the East African Legislative Assembly (Eala) on June 4 in Nairobi, member universities were to inject $333,970 while miscellaneous revenue was pegged at $265,971.

During this week’s meeting at the EAC headquarters, Eng Mlote admitted slow disbursement of funds by the partner states had impacted “implementation of Community activities”.

When he tabled the budget estimates in June, the Uganda second deputy prime minister and the country’s EAC Affairs minister Kirunda Kivejinja said enhancement of cross-border trade will be the focus of this year’s EAC expenditure.

Key projects to receive funding will be those related to enhanced free movement of goods, labour and services in the region and improved cross-border infrastructure “to ease cost of doing business”. Other priority areas are agricultural productivity, industrial development through investment, notably in leather and textiles and skills development.