EAC: South Sudan & Burundi sanctioned for defaulting on their annual payments
The launch of a regional electronic cargo and driver tracking system which was scheduled to start today (13th August) as one of the measures aimed at preventing further spread of the COVID-19 pandemic has been postponed. Moreover, on June 30th, the East African Legislative Assembly passed a motion to censure South Sudan and Burundi for defaulting on their annual payments and it also recommended that the Council of Ministers take further action against the two countries. Economic Analyst, Odhiambo Ramogi joins CNBC Africa for more.
Fri, 14 Aug 2020 11:06:51 GMT
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AI Generated Summary
- The postponement of the regional electronic cargo tracking system launch highlights disparities in commitment and trust among EAC member states, particularly due to Tanzania's cautious approach to regional agreements.
- Divergent responses to the COVID-19 pandemic within the EAC, with Uganda, Kenya, and Tanzania exhibiting varying levels of stringency, pose challenges to forging a unified strategy against the virus.
- Financial issues have emerged within the EAC as South Sudan and Burundi face censure for defaulting on annual payments, underscoring the importance of financial contributions from member states to sustain the organization.
The East African Community (EAC) was set to launch a regional electronic cargo and driver tracking system on 13th August as part of efforts to curb the spread of COVID-19. However, the launch has been postponed. This system was designed to track cargo and drivers from ports in major cities like Dar es Salaam, Mombasa, and more, operating between borders of countries like Kenya, Tanzania, Uganda, and Rwanda. The purpose of this system was to minimize the traffic and potential spread of the virus at checkpoints. By reducing physical contact between customs officers and paperwork, the risks of transmission were expected to decrease significantly, making cross-border trade more efficient. Tanzania, known for its cautious approach to regional agreements, requested a postponement to allow member states to discuss the initiative further. This delay highlights varying levels of commitment and trust among EAC member states. While some countries are quick to implement decisions, others like Tanzania take more time, raising concerns about unity within the region. As the EAC continues to grapple with the COVID-19 pandemic, disparities in responses are evident. Uganda remains stringent, Kenya fluctuates in its approach, and Tanzania seems dismissive of the threat, claiming to have eradicated the virus. Such divergent responses make it challenging to coordinate a unified strategy against the pandemic. Beyond the health crisis, financial issues have also surfaced within the EAC. On June 30th, the East African Legislative Assembly censured South Sudan and Burundi for defaulting on their annual payments to the EAC. Both countries owe significant sums, with Burundi owing 24 million US dollars and South Sudan owing 46 million US dollars. The EAC has expressed disappointment over these defaults, emphasizing the importance of financial contributions from member states to sustain the organization's operations. The assembly recommended further action by the Council of Ministers to address this ongoing issue. The delayed launch and financial disputes underscore challenges facing the EAC in navigating the pandemic and sustaining regional cooperation.