This archive report was first published on 17 September 2021.
Published on September 17, 2021, the East African Community budget has been decreasing despite the number of programmes remaining the same.
Kenya's Cabinet Secretary for East African Community, Adan Mohamed, attributed this reduction to the economic climate, stating that the pandemic has hit the economies of EAC member countries, resulting in a reduction in their tax revenues.
Mr. Mohamed explained that the countries had to pay stimulus packages for businesses to stay afloat, forcing the governments to operate within the economic circumstances now in the region.
According to Mr. Mohamed, Kenya is now buying competitively closer home as opposed to importing from outside the region's Customs Union, with the country's high cost of agriculture production being a major factor in this decision.
However, the ministries of Agriculture and Treasury are looking into ways of supporting farmers to make their produce more competitive, while other departments are providing guarantees in minimum markets.
On sugar import quotas, Mr. Mohamed stated that Kenya is committed to the EAC Customs Union and Common Market Protocol, but suspicions of abuse of the regulations around sugar imports and the Rules of Origin by a few rogue private sector businesses are the genesis of the problem.
