EAC Secretariat warns member states against reversing agreed market freedoms.
The East African Community (EAC) Secretariat has issued a stern warning to partner countries against backtracking on promises made under the Common Market Protocol. This follows a diplomatic protest by Kenya after Tanzania moved to block foreigners from engaging in several small-scale business ventures.
Kenya’s East African Community Principal Secretary Dr. Caroline Karugu confirmed on July 31 that a formal complaint had been lodged with the Secretariat.
“The Order undermines the core objectives of regional economic integration and poses a significant setback to the gains made under the East African Community Common Market Protocol,” said Karugu.
Tanzania recently banned foreigners from participating in 15 categories of business, including food vending, welding, phone repairs, and running retail kiosks. Though the EAC press release didn’t mention Tanzania directly, the timing of the statement strongly pointed to the controversy.
EAC Secretary General Veronica Nduva emphasized that once a country has opened up certain sectors under the protocol, it cannot reverse that decision unilaterally.
“Partner States shall not reverse or restrict sectors and trades they have previously liberalised, as outlined in Annex V of the EAC Common Market Schedule of Commitment,” read the EAC’s statement.
The EAC reminded member states that all decisions must align with regional legal agreements. A similar position was reaffirmed in November 2024 by Attorneys General at the Council on Legal and Judicial Matters.
The Secretariat said unilateral restrictions go against the spirit of regional unity and integration, further warning they could disrupt the EAC single market’s smooth functioning.
“Unilateral backtracking on these commitments is inconsistent with the obligations under the Protocol,” the EAC noted.
The regional body is currently assessing the extent of each country’s compliance with the Common Market Protocol. The findings will be shared during the upcoming meeting of the Sectoral Council on Trade, Industry, Finance and Investment.
“All Partner States are encouraged to adhere to the obligations they have committed to in order to maintain the integrity of our regional single market,” said Nduva.
The diplomatic standoff erupted after President Samia Suluhu’s government barred non-Tanzanians from operating certain informal and small-scale businesses—prompting concerns in Nairobi about discrimination against Kenyan traders.
Kenya now awaits a formal resolution, hoping that upcoming EAC meetings will enforce fair play and unity across the trading bloc.
