Investment & Private Sector Development

EAC and Investment & Private Sector Development
With the aim of harnessing the investment potential to promote economic growth and development in the region, the EAC Partner States have agreed to cooperate in the areas of Investment and Industrial Development. This cooperation seeks to attract investments into the region through efficient utilisation of established industries to harness the full production potential in the region. Furthermore, the EAC Treaty recognises the role of the private sector as one of the key stakeholders to realise a market-driven and people-centred integration. Providing an enabling environment for the private sector to take full advantage and accrue the benefits of regional integration is a priority for the community.
The German Government supports this EAC Sector under Core Area 1 of EAC-German cooperation as defined by BMZ 2030 – “Sustainable Economic Development, Training and Employment” in the Intervention Area of “Socially and Environmentally Sound Supply Chains, Trade and Sustainable Infrastructure”. The cooperation directly contributes to implement three of the eight priority areas defined by the 6th EAC Development Strategy, namely “Customs Services that Facilitate Legitimate Trade and Investment”, “Strengthening Productive and Social Sectors”, and “Awareness Creation”. The BMZ 2030 reform strategy focuses on a new quality of cooperation. More information on BMZ 2030 can be found here.

EAC-Germany Support

Capacity Building on the AfCFTA Investment Protocol

EAC Partner States have put in place a number of initiatives aimed at increasing investment into the region. These initiatives are geared towards improving the outlook of individual Partner States as favourable investment destinations. From the AfCFTA perspective, once there is a sufficient flow of investments into the region from within the African continent, then the related attributes of investment inflows will follow. These include but are not limited to job creation, increased revenue, technology & skills transfer, human capital development, business linkages and growth of domestic SMEs as well as improved infrastructural development. These attributes will not only contribute to economic growth but lead improved livelihoods for the EAC citizens.

Projects:

SEAMPEC II - GIZ

Objective: To facilitate Partner States in the adoption, ratification and subsequently implementation of the AfCFTA Investment Protocol.
Approach: SEAMPEC II works closely with the EAC Department of Investment Promotion and Private Sector Development to organize a series of capacity building trainings workshops for officials in the six EAC Partner States of Burundi, Kenya, Rwanda, South Sudan, United Republic of Tanzania and Uganda to equip Partner States with knowledge and expertise for the implementation of the AfCFTA Investment Protocol.
Further, the trainings aim to enhance knowledge of Partner States on the legal and regulatory policy framework on investment at national and regional such as EAC, ECOWAS, COMESA and SADC, and take stock of the links between the proliferation of bilateral investment treaties, exiting investment protocols within the Regional Economic Communities to guide their negotiations on investment within the AfCFTA.
All measures are conducted in line with the AfCFTA Investment Protocol's objectives listed below:
Encouraging intra-African investment flows and opportunities.
Promoting, facilitating, retaining, protecting and expanding investments that foster sustainable development of State Parties.
Establishing a balanced, predictable and transparent continental legal framework for investment, taking into account the interests of State Parties, investors and local communities.
Providing a sound legal framework for the prevention, management and settlement of investment disputes.
Promoting, enhancing and consolidating coordinated positions and cooperation on matters related to investment promotion, facilitation and protection within the continent.

Investment Promotion for Women in Business

The EAC Treaty dedicates its entire Chapter 22 to the role of women in socio-economic development. It emphasises the necessity to promote women in business at the policy formulation and implementation levels and develop special training, education and skills development programmes for women in small, medium and large-scale enterprises to foster their equal participation in the economic development and regional integration process. EAC-Germany specifically focuses on women in business and trade to help them overcome the barriers that still prevent women from exercising their full potential in business, for example by promoting networks of women in business and providing access to the information needed to do business across borders legally and lawfully in accordance with the regulations of the EAC Common Market Protocol.

Projects: