The African Development Bank (AfDB) has earmarked $50 million for women business projects in the eastern Africa region. This was revealed this week by the regional director of the continental bank during his visit to the East African Community (EAC) and affiliated bodies in Arusha. Cheptoo Kipronoh who heads AfDB operations in Tanzania, Uganda, Kenya, Rwanda, South Sudan, Ethiopia, Eritrea and Seychelles said this was part of a wider support to the region. “Some $50 million have been earmarked to support women in business,” he said during his visit to the East African Business Council (EABC) head offices. The apex body of private sector associations based here has a full desk coordinating women-in-business programmes within the region. Mr Kipronoh added that the continental bank had also granted $900 000 to the EAC secretariat for the fight against Covid-19 epidemic. The Abidjan-based AfDB is the main financier of a host of infrastructure development projects in the EAC bloc. Within Tanzania, these include the 110-kilometre Arusha-Namanga road (which extends to Athi River in Kenya), 41km Arusha By-Pass and 14km Arusha Tengeru road. Plans are afoot for the proposed 110km Arusha-Holili highway which would be widened to a four lane road to serve the increasing traffic. Kipronoh commended Tanzania for ratifying the African Continental Free Trade Area (AfCFTA) agreement and the EAC Protocol on Sanitary and Phytosanitary measures. “These shall boost intra-African trade, food safety and agribusiness in the EAC bloc,” he said. He further elaborated that AfCFTA’s 1.2-billion market offers a pathway...

Kenya Association of Manufacturers (KAM) has rolled out its county-focused drive bid to increase women participation in industry, through its Women in Manufacturing (WIM) programme. The WIM North Rift Conference and Expo, held in Eldoret, marks the beginning of a nationwide series of events, geared towards increasing women’s participation in the manufacturing sector. Industrialisation, Trade and Enterprise Development Chief Administrative Secretary David Osiany says women are the future of the manufacturing sector. “Our nation’s manufacturing sector is in a state of reinvention, as such empowering women will be critical to the future of the industry,” said Osiany who opened the three-day expo in Eldoret. “It is without a doubt that women are an emerging market force, and must be fully supported, to actively participate in our country’s development, “added the CAS. He said that the government, we remain committed to advancing women economic empowerment, for prosperity. Osiany said the government has developed the National Women Economic Empowerment Strategy, which seeks to bring together regional, national and international stakeholders, to sensitise and build capacity amongst women for their economic empowerment. He cited the huge potential the East African Community manufacturing market has with a population of 187 million. “There is a huge gap which needs to be filled by our manufacturers. This can only be achieved through partnerships,” said Osiany. Uasin Gishu Deputy Governor Daniel Chemno, noted the importance of an enabling environment in the counties. “To enjoy the full benefits of devolution, we must support our businesses to grow. This...

Summary A study by Forbes further indicates that 96 percent of women have primary or shared responsibility for their families’ financial decisions. In Kenya, women make about 52 percent of the country’s population and about 30 percent of registered businesses are women-owned but their financial inclusion remains slim. Closing the gender inequality gap remains an economic challenge and necessity across the world. A lot of effort is being put into the gender agenda by governments, private sector and other institutions to narrow this disparity. In Africa, women are applying themselves in every field to financially support their families and communities. Research has shown that one in four women is starting or managing a business, making Africa the continent with the highest percentage of women entrepreneurs in the world. A study by Forbes further indicates that 96 percent of women have primary or shared responsibility for their families’ financial decisions, and 70-80 percent of all consumer purchases are driven by women, through buying power and influence. Even more importantly, women own and lead roughly 30 percent of all SMEs in the world, and SMEs account for 70 percent of employment worldwide. In emerging markets, these businesses contribute up to 45 percent of total employment and 33 percent of GDP. Although one third of registered SMEs globally are estimated to have been created by women, with close to 100 million women running established businesses, the gap between women and men remains significant. In Kenya, women make about 52 percent of the country’s...

In Summary A high-powered delegation from Uganda of three Ministers; Trade, Agriculture, Finance and Investment attended the Mombasa expo. Kenya's Trade CS Betty Maina and her Ugandan counterpart Francis Mwebesa explored on available opportunities for trade in both nations. There are great opportunities for Kenya and Uganda traders to invest more in agribusiness, logistics and other related business support services within the two nations,experts have said. For years, Kenyan exports to Uganda have been manufactured goods, while imports into Kenya from Uganda have been agro-products. During an agribusiness expo in Mombasa this week, Kenya's industrialisation and trade  CS Betty Maina and her Ugandan counterpart Francis Mwebesa, said both nations have an opportunity to diversify their business. The two-day expo was themed, ‘Unlocking the full potential of Agri-business to enhance export performance for national development.’ The expo brought together over 50 exhibitors from the two countries and other parts of the world, focusing on agriculture and food security. CS Maina said the cordial relation between Kenya and Uganda has enabled the business communities in both countries to trend deep into each other's territories in search of opportunities. “The greatest testimony to this is the thriving air, road and rail transport between our two countries. I applaud the direct flights between Mombasa city and Entebbe and from the available data, I can comfortably indicate that there is greater potential for more flights – facilitating faster movement of Kenyan and Ugandan entrepreneurs and investors,” she said. Uganda is the biggest users of the Port of Mombasa among landlocked...

SUMMARY The survey finds that social media platforms are powerful catalysts in the formation and growth of new small- and medium-sized businesses. More SMBs have increased the use of social media and online messaging during the Covid-19 pandemic to communicate with customers, operate remotely, raise capital and make sales. Social media platforms are accelerating economic growth and opportunity across the continent, a new study by Genesis Analytics has shown. The independent study aimed at exploring the impact of the digital economy on small- and medium-sized businesses (SMBs) was conducted in eight African countries – Kenya, Senegal, Côte d’Ivoire, DR Congo, South Africa, Nigeria, Ghana and Mauritius. The survey explored the adoption and use of social media and messaging platforms; value to SMBs; barriers to usage; and the impact of the Covid-19 pandemic. The focus was on the Facebook company technologies, being Facebook app, Instagram, Whatsapp and Messenger. The report shows that surveyed SMBs that use the Facebook apps have younger employees with an average share of 45 percent of employees under 30. Additionally, SMBs using Facebook apps reported a higher frequency of being owned by women, while SMBs in the manufacturing sector ranked the ability to access new foreign markets as the most beneficial advantage of the apps. The survey finds that social media platforms are powerful catalysts in the formation and growth of new SMBs. Some 73 percent of surveyed SMBs report using social media. Of the surveyed SMBs that use the Facebook apps, 84 percent report that the...

The ease of doing business reforms in Kenya has had a profound impact on the growth of small businesses in the last six years. In the past, regulations, rules and government policies placed a disproportionate burden on small firms and entrepreneurs. There were significant fixed costs and processes associated with compliance. Partly due to such concerns, growth of small businesses has been impaired, even though the informal sector account for a good share of Kenya’s Gross Domestic Product growth. In 2020, Kenya had an overall small business count of 12 million. Over 200 businesses were registered daily compared to 30 six years ago. Over 600,000 new businesses and hundreds of multinationals have been registered since 2014. These are tangible results of the country’s strategic thrust to reform the legal and regulatory environment for small entrepreneurs. Over these years, reforms have been made in 10 reform indicators including: starting a business; dealing with construction permits; getting electricity; registering electricity; getting credit; protecting investors; paying taxes; trading across borders; enforcing contracts; and resolving insolvency. In general, the reforms have involved a whole-of-government commitment and approach in close collaboration with the private sector. Between 2014 and 2019 alone, the number of procedures to register a business dropped from 10 to 7. The time taken to set up a business fell by 28 per cent from 32 business days to 14 – and to one day in 2021. At the same time, the cost to set up a business fell by 16 percentage points....

The full operationalization of the Naivasha Container Inland Depot is expected to boost and promote economic potential and business competitiveness within the larger Eastern Africa member states. Speaking at the site, East African Community PS, Dr. Kevit Desai, said the inland depot holds a huge potential in promoting interconnectivity and shared infrastructure within the member states, while ensuring seamless transportation of cargo from the depot to individual countries’ destinations. Dr. Desai said the inland depot seeks to achieve and realize economic and social developments in the country and those of individual member states, while also opening opportunities for joint business ventures. The PS said the construction of the depot by the government aims to enhance business and save time as well as the cost of transporting cargo from the port of Mombasa to other countries, which will promote high level of inter-trade along the Northern Corridor. He said the depot which sits on an area of 100 acres in Naivasha and served by the newly constructed Standard Gauge Railway, will enhance efficiency and promote high level of manufacturing and value addition of goods that individual countries aspire. “This depot is part of SGR logistics which brings the Mombasa port closer to by over 500KM in the Eastern Africa hinterland, thereby reducing time and cost of transportation of cargo to and from the port,” said Desai. The PS said the depot has so far handled 11,000 TUES since the ICD freight operations were launched in December 2019 following the construction of...

Summary All goods destined for South Sudan and the DR Congo from either the port of Mombasa or Dar es Salaam through the border points of Kenya and Uganda will have to be issued an Electronic Cargo Traffic Note Certificates at a minimum cost of $75 for both exports and imports. The fee ranges from $75 to $100 for vehicles, 20ft containers will cost $80 while those of 40ft will be$110. The Northern Corridor, a lifeline of the region, is continuously facing challenges that affect cross border trade, slowing down commerce and causing shocks to economies struggling to recover from effects of the pandemic. South Sudan, Uganda and Kenya are still working through the recent resumption of cargo trucks movement to Juba following weeks of blockade. But just as soon, this month, South Sudan asked the Uganda Revenue Authority to start implementing the Electronic Cargo Traffic Note Certificates (ECTN), adding another layer of costly regulation to be borne by importers and transporters, increasing the cost of using the Northern Corridor. This means all goods destined for South Sudan and the DR Congo from either the port of Mombasa or Dar es Salaam through the border points of Kenya and Uganda will have to be issued an Electronic Cargo Traffic Note Certificates at a minimum cost of $75 for both exports and imports. The fee ranges from $75 to $100 for vehicles, 20ft containers will cost $80 while those of 40ft will be $110. Truck drivers who violate this order will...

The ECOWAS Commission, in collaboration with the International Trade Centre (ITC), organized the 2nd virtual Regional Workshop on the African Trade Observatory (ATO) on 8 September 2021 for Experts from Ministries of Trade and National Statistics Agencies, as well as representatives of Customs Authorities to review status of development of the Observatory. The African Trade Observatory, is one of the five African Continental Free Trade Area (AfCFTA) operational instruments along with the rules of origin; the online negotiating forum; the monitoring and elimination of non-tariff barriers; and the digital payment system, that was launched at the African Union 12th Extraordinary Summit held in July 2019 in Niamey – Niger. In his opening remarks, Mr. Kolawole SOFOLA, Acting Director of Trade, on behalf of H.E. Jean Claude KassiBrou, President of the ECOWAS Commission, and Tei KNOZI, Commissioner for Trade, Customs and Free Movement, recalled the importance of the AfCFTA in achieving Sustainable Development Goals, the African Union (AU) Agenda 2063 and deepening the regional integration agenda. Before he declared the meeting open, he highlighted the expected benefits of the ATO for the ECOWAS region which include increased competitiveness, market opportunities for traders, and development of regional value chains and new sectors. This second regional meeting on the African Trade Observatory provided an update on the operational development of the observatory. During the meeting, ITC provided participants with an overview of the observatory, including its main features and how national experts can engage with the platform. The African Trade Observatory seeks to...

SUMMARY The theme for this year’s African Green Revolution Forum (AGRF) to be held in Nairobi from September 6-10 is ‘Pathways to Recovery and Resilient Food Systems’. AGRA has been funded to date by governments and major international donors such as the Bill and Melinda Gates Foundation to “transform African agriculture from a subsistence model to strong businesses that improve the livelihoods. The theme for this year’s African Green Revolution Forum (AGRF) to be held in Nairobi from September 6-10 is ‘Pathways to Recovery and Resilient Food Systems’. Yet 15 years after its convener, the Alliance for a Green Revolution in Africa (AGRA) was founded in 2006, questions remain about the viability of its high inputs model in addressing Africa’s food insecurity. AGRA has been funded to date by governments and major international donors such as the Bill and Melinda Gates Foundation to “transform African agriculture from a subsistence model to strong businesses that improve the livelihoods of the continent’s farming households”. However, some of the countries where AGRA has focused its efforts have seen continued poverty. African civil society, faith leaders and supporting organisations across Africa have raised concerns about the industrial farming initiatives in a letter to the Gates Foundation. Our view is that we do not need farming ‘solutions’ but rather support to locally appropriate solutions, working in partnership with small-scale farmers in ways that increase climate resilience. TOP-DOWN APPROACHES As can be seen from other top-down approaches that have failed in Africa, such as UNFCCC REDD+...